September 28, 2022

Ethereum (ETH): The Metrics Remain Flat Despite Round-the-Corner Merge

The leading alt, ETH, recorded stable northbound actions since June’s massive crash. Ethereum recorded persistent higher lows within the past two months, indicating bullishness as the final Merge date approaches.

However, the latest turn of events saw most cryptocurrencies, including Bitcoin and Ethereum, enduring a price drop. While publishing this post, ETH traded at $1636, dropping approximately 10% over the past day. The altcoin’s market cap hovered at $199,662,199,532.

What’s Going On?

Ethereum recorded multiple interesting on-chain developments as prices dipped. Glassnode’s statistics show ETH’s 7d MA Exchange Outflow Volume hit a monthly low of $14,564,884.8. This drop confirms more declines for Ethereum in the upcoming days. Remember, exchange outflow volume decline highlights bearish signals.

Furthermore, inflow volume increased as outflow pressure reduced, suggesting potential price dips. While prices declined, Ethereum’s social dominance hiked as the cryptocurrency community debated the event on several social media networks, voicing their views.

Also, ETH’s supply in profit plummeted amidst the declining prices, dropping from the 3-month high of 63,790,230 to 49,999,507 within 24 hours, confirming increased investor losses.

The MVRV (Market Value Realized Value) Ratio shows ETH’s dark days will likely prevail. The graph placed the MVRV Ratio well beyond the one level, suggesting more price plummets in the upcoming days as numbers beneath the one area show a potential market bottom.

The Flip Side

As multiple indexes show a potential price dip in Ethereum, the 4hr chart also appeared to print a grim outlook. A bearish wedge setup emerged on the price chart, triggering ETH’s price declines.

The Bollinger Bands shows Ethereum’s value stayed in a massive volatility region, indicating a price crunch in the upcoming days.

The RSI (Relative Strength Index) indicated that the Ethereum price drop pushed the index into oversold territory. Thus, the altcoin might see upside price actions. That showed new support around the $1.6K.

Meanwhile, the market attempted to steady during this publication, with BTC holding beyond $21K. While publishing this content, the leading crypto changed hands at $21,436.99. However, time will tell what upcoming tendencies will exhibit.

Stay tuned for upcoming developments.