Ether holds in tight range as accumulation data suggests long-term support
The post Ether holds in tight range as accumulation data suggests long-term support appeared on BitcoinEthereumNews.com. ETH holds $4.2K–$4.5K range as $7.5B accumulation signals long-term support. Institutional open interest hits records, boosting confidence in ETH outlook. Key $4.5K resistance may trigger rally, while $4K–$4.1K offers downside support. Ether (ETH) is trading in a narrow band between $4,200 and $4,500 this month, showing signs of fading momentum even as underlying on-chain data suggests stronger structural demand. While short-term traders remain cautious about potential weakness, accumulation patterns, exchange flows, and institutional positioning paint a more nuanced picture of Ethereum’s market trajectory. Accumulation trends around $4,300–$4,400 Data from blockchain analytics firm CryptoQuant highlights a key accumulation zone between $4,300 and $4,400. Roughly 1.7 million ETH, worth around $7.5 billion, has been absorbed into long-term accumulation addresses at these levels. Much of this activity has been linked to withdrawals from centralized exchanges, which reflects an average cost basis near $4,300. This cluster of buying interest establishes a significant support region that could serve as a cushion if Ether revisits lower levels. Analysts suggest that the ability of ETH to hold above this range may determine whether the current consolidation turns into a springboard for a rally or a deeper correction. Binance, the world’s largest exchange by volume, has been central to this dynamic, handling the largest outflows during the accumulation phase. Interestingly, addresses that deposited ETH onto Binance show a markedly lower average cost basis, closer to $3,150. This divergence highlights contrasting strategies between longer-term holders accumulating at higher levels and shorter-term traders potentially seeking profits at lower entry points. Institutional participation and derivatives market activity Institutional flows are also shaping Ether’s outlook. Open interest on the Chicago Mercantile Exchange (CME) has climbed to record highs, with a heavy concentration in short-term maturities spanning one to three months. While this concentration increases the likelihood of volatility around contract expirations, it…
The post Ether holds in tight range as accumulation data suggests long-term support appeared on BitcoinEthereumNews.com.
ETH holds $4.2K–$4.5K range as $7.5B accumulation signals long-term support. Institutional open interest hits records, boosting confidence in ETH outlook. Key $4.5K resistance may trigger rally, while $4K–$4.1K offers downside support. Ether (ETH) is trading in a narrow band between $4,200 and $4,500 this month, showing signs of fading momentum even as underlying on-chain data suggests stronger structural demand. While short-term traders remain cautious about potential weakness, accumulation patterns, exchange flows, and institutional positioning paint a more nuanced picture of Ethereum’s market trajectory. Accumulation trends around $4,300–$4,400 Data from blockchain analytics firm CryptoQuant highlights a key accumulation zone between $4,300 and $4,400. Roughly 1.7 million ETH, worth around $7.5 billion, has been absorbed into long-term accumulation addresses at these levels. Much of this activity has been linked to withdrawals from centralized exchanges, which reflects an average cost basis near $4,300. This cluster of buying interest establishes a significant support region that could serve as a cushion if Ether revisits lower levels. Analysts suggest that the ability of ETH to hold above this range may determine whether the current consolidation turns into a springboard for a rally or a deeper correction. Binance, the world’s largest exchange by volume, has been central to this dynamic, handling the largest outflows during the accumulation phase. Interestingly, addresses that deposited ETH onto Binance show a markedly lower average cost basis, closer to $3,150. This divergence highlights contrasting strategies between longer-term holders accumulating at higher levels and shorter-term traders potentially seeking profits at lower entry points. Institutional participation and derivatives market activity Institutional flows are also shaping Ether’s outlook. Open interest on the Chicago Mercantile Exchange (CME) has climbed to record highs, with a heavy concentration in short-term maturities spanning one to three months. While this concentration increases the likelihood of volatility around contract expirations, it…
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