Ethereum‘s price performances in the continuing bull cycle could also be lagging behind other notable crypto assets like Bitcoin, Solana, and XRP, which have formed latest all-time highs. Nonetheless, optimism about its price prospects still lingers as evidenced by a persistent accumulation of the digital asset
Confidence In Ethereum Growin Amongst Investors
Despite Ethereum’s price struggling to initiate a significant rally, an encouraging sentiment has been spotted amongst investors. Recently, ETH investors have ramped up accumulation at a major rate during the last two weeks.
Kyle Doops, a technical expert and host of Crypto Banter Show shared the event after examining the important thing Ethereum Recent Accumulation metric. Data from Kyle Doops reveals a surge in wallet activity, with each small and large-scale investors increasing their ETH holdings.
The expert stated that this trend reflects unwavering confidence from investors regardless of recent market fluctuations. Moreover, the expanding interest suggests strong faith in ETH’s potential in the long run, which is attracting many institutional and retail participants.
Ethereum’s network expansion and dominance of the Decentralized Finance (DeFi) and Non-Fungible Tokens (NFT) sectors could have played a pivotal role within the persistent accumulation. Meanwhile, if the accumulation phase extends, it could act as a precursor for the altcoin’s next major price movement.
Nonetheless, waning market performance threatens its uptrend within the short term. Even within the face of market uncertainty, Kyle Doops claims that Ethereum’s future appears increasingly promising, demonstrating his optimism concerning the asset’s capability.
This robust investor activity can also be indicated by the Ethereum Estimated Leverage Ratio metric, which has been climbing for some period. An increase on this key metric indicates heightened risk as traders tackle more positions with high leverage.
The surge in high-leverage positions appears to have been climbing as ETH consolidates between the $3,200 and $3,500 price range. Given the prolonged stasis throughout the price range, Kyle Doops believes that a bullish breakout is probably going at this point.
Nonetheless, he has urged investors to be cautious as high leverage may cause liquidations and volatility as seen previously whereby the event has led to a volatile price motion for the altcoin.
A Strong Rally For ETH On The Horizon?
ETH continues to face significant resistance on the $3,500, raising uncertainty about its next price direction. Nonetheless, market expert and trader Milkybull has expressed his confidence in ETH’s prospects, predicting a move to unprecedented levels.
Examining ETH’s 1-month chart, the analyst claims that the infamous rise of ETH that can push it to the $12,000 milestone is gathering steam. His daring forecast is supported by a Rising Wedge pattern, which generally oversees notable price spikes.
On the time of writing, ETH was trading at $3,381, demonstrating an almost 5% rise within the last 24 hours. Investors are betting significantly on the renewed upward momentum as trading volume has increased by greater than 60% previously day.
Featured image from Unsplash, chart from Tradingview.com