Ethereum addresses that were inactive for years have recently become active.
The total number of ETH moved was over 22,000, sparking a lot of speculation.
While Ethereum [ETH] investors have been watching the slow growth of the token, some bulls began to stir, leading to rumors of what will happen next. The rally came at a time when the broader market and the price of ETH were both quite disappointing. What can investors anticipate?
Read Ethereum’s [ETH] price forecast 2023-2024
Ethereum bulls are waking up
On December 19, PeckShieldAlert published an intriguing post on his page describing how two addresses that had been dormant since October 2018 suddenly came to life. The addresses sent a total of 22,982 ETH, worth more than $27 million at the time of writing, to new addresses.
Given how long these addresses were inactive, there were questions about what these transfers might mean.
#PeckShieldAlert 2 Dormant addresses transferred 22,982 $ETH (~27.2 million) to 2 new addresses, their last move was October 2018 (1535 days ago).
This one $ETH originated from Genesis and Poloniex pic.twitter.com/MXKpLnypif
— PeckShieldAlert (@PeckShieldAlert) December 19, 2022
Transfers of 13,103.99 ETH and 9,878 ETH are said to come from the Genesis and Poloniex exchanges, respectively. PeckShield’s flow chart made it possible to track the history of ETH in real time.
The price of ETH fluctuated between about $190 and $230 when the wallets were last active.
The current status of ETH
The support range on the ETH daily chart between December 1 and December 13 was around $1,200. Lower support had formed after the nearly 7% decline on Dec. 16, and the asset was trading at $1,180 at the time of writing.
Since September, ETH has yet to break above the short moving average (yellow line). This meant that the yellow line had actually acted as resistance at certain points during its movement.
Not a short-term sell-out, but possibly long-term
According to CryptoQuant’s Exchange Netflow statistic, there were more ETH transactions leaving exchanges than entering. This could indicate that holders were hesitant to sell at the price, meaning no potential sell-off in the near term. However, CryptoQuant predicted a possible sell-off in 2023.
🚨 $ETH Mass sale event coming up?
1/ The #ETH2 The deposit is collected and contains 12% of the total offer.
As the $ETH exchange reserve falls to 15% of total supply and continues to fall,
What happens on $ETH after the Shanghai Hard Fork? 🧵https://t.co/RrFQrLPeda pic.twitter.com/CrWhqSbxPn
— CryptoQuant.com (@cryptoquant_com) December 16, 2022
Due to the approaching Shanghai upgradethere could be a sell-off as investors are allowed to remove their stake once it ends which can affect the price of ETH.
Investors with an enhanced loss
In recent months, the price of ETH has lagged behind the spectacular run it went through in 2021. The Market Value to Realized Value (MVRV) ratio revealed that investors had lost over the past 365 days. Owners of ETH suffered a loss of more than 31% at its current price.
Although it was loss-making, the current rate was better than around November.
This post Ethereum Bulls Awaken From Years Of Sleep; Can ETH Avoid a Bearish Pivot?
was published first on https://ambcrypto.com/ethereum-bulls-awaken-from-years-of-slumber-can-eth-avoid-a-bearish-pivot/