Ethereum Price Analysis: Analyst Points to Bullish Trend Indicators
The price of Ethereum has been fluctuating between $2,500 and $2,750 recently, with a dip to $2,400 at one point. Despite this, an analyst suggests that Ethereum might still be in a bullish trend.
In a post on the CryptoQuant platform, an analyst named Crypto Sunmoon argues that Ethereum’s price remains bullish despite recent declines. The key point is that ETH’s price has stayed above its realized price, which acts as a significant on-chain support level. The realized price represents the average price at which all circulating coins were last moved.
Maintaining a position above the realized price is seen as positive by market participants, especially long-term investors. When an asset’s actual price exceeds the realized price, it indicates that most holders are in profit, fostering a bullish sentiment in the market. Historically, strong Ethereum price action relative to the realized price has been a driver for the altcoin bull market.
As of the latest data, the price of ETH hovers around $2,517, showing a minimal 0.6% decrease in the past 24 hours. Despite this slight drop, Ethereum had fallen to $2,440 within the day. Over the previous week, the altcoin’s value declined by almost 9%, underlining its recent struggles.
Throughout August, Ether experienced a more than 23% decrease, dropping below $3,000 early in the month. Following a recovery from a low of $2,200, the price has consolidated between $2,500 and $2,750. Nonetheless, Ethereum maintains its position as the second-largest cryptocurrency, boasting a market capitalization exceeding $301 billion.
The ability of Ethereum to hold above the realized price is viewed positively for the broader altcoin market. This indicator, along with historical trends, suggests that Ethereum’s price performance against the realized price could be a catalyst for an altcoin bull market resurgence.
