Ethereum’s price has shattered ceilings, reaching a glorious 7-month peak of $3,745! A tidal wave of bullish sentiment propelled the altcoin skyward, surging an astounding 27% in a single week. Investors are snapping up ETH like precious gems, fueling the relentless rally.
Ethereum’s meteoric rise faces a critical crossroads: Can its infrastructure withstand the blistering pace, or will the network buckle under its own success, forcing a pivotal shift in its trajectory?
Ethereum Investors Accumulate Heavily
Over $1.18 billion worth of Ethereum has vanished from crypto exchanges since July, a staggering 317,000+ ETH exodus. Investors are snatching up ETH like it’s going out of style, drastically shrinking the available supply. The message is clear: they’re not just holding, they’re hoarding.
The decline indicates strong confidence that the price will continue rising.
Fueled by insatiable demand swallowing available supply, a buying frenzy is igniting ETH’s ascent. This voracious accumulation hints at a powerful market conviction: the $4,000 barrier is about to shatter, unleashing a tidal wave of bullish momentum.
Ethereum Balance On Exchanges. Source: Glassnode
Ethereum’s NUPL is flirting with the “Belief-Denial” stage. Is this the calm before the storm? This key metric, revealing investor profitability, is edging closer to a zone notorious for market trend reversals. Are you ready to navigate the potential shift?
Historically, whenever NUPL entered this area, Ethereum’s price experienced a short-term correction.
Ethereum teeters on a psychological precipice. Approaching $4,000 isn’t just a price point; it’s the “profit-secured” siren song for optimistic investors. Will it break through, or will the looming temptation to cash out trigger a market-wide sell-off? $4,000: the make-or-break moment for Ethereum’s momentum.
This pattern has repeated over the last 16 months and could repeat if ETH’s bullish run continues without correction.
Ethereum NUPL. Source: Glassnode
ETH Price May Not Rally Sharply
Ethereum flirts with $4,000! Currently priced at $3,745, the bulls are charging, leaving the psychological barrier of $4,000 a mere 6.8% away. Will ETH shatter this long-standing resistance, a level that has repelled previous advances? The stage is set for a thrilling showdown in the days ahead.
But beware: Ethereum’s ascent to $4,000 hangs precariously. A wave of profit-taking could slam the brakes on its rally. Failure to conquer $4,000 will likely trigger a descent, initially targeting $3,530. Should that level crumble, brace for a steeper fall to $3,131 – a move that would obliterate recent gains and signal a looming short-term reversal.
ETH Price Analysis. Source: TradingView
However, if bulls maintain their grip and accumulation intensifies, kiss that bearish forecast goodbye. Shattering the $4,000 ceiling would confirm the bullish momentum, fueling Ethereum’s ascent to uncharted territories.
This scenario depends largely on the strength of investor conviction and broader market cues.
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