Long-term Ethereum (ETH) holders have shown strong confidence in the cryptocurrency’s potential to continue its bullish momentum, especially compared to short-term investors. BeInCrypto noted this trend after analyzing market sentiment using on-chain data.
This sentiment could be linked to ETH’s recent rally that took its price above $2,600. However, the main question remains: will Ethereum’s value continue to rise?
Ethereum indicators suggest rising confidence
In August, Ethereum’s Long-Term Holders Net Unrealized Profit/Loss (LTH-NUPL) positioned itself in the “belief zone” (green). The metric assesses the sentiment of investors who have held their cryptocurrencies for at least 155 days, measuring their unrealized profits or losses.
This zone suggests that long-term Ethereum holders are confident of locking in more unrealized gains. After the price of ETH dropped below $2,400 in early October, sentiment shifted to bearish.
Since the price climbed above $2,600, LTH-NUPL has moved into the “bullish zone” (yellow). This shift indicates that holders are experiencing unrealized gains, which could boost market sentiment and encourage further accumulation.
Read more: Ethereum ETFs – Understand what they are and how they work
Ethereum LTH-NUPL. Fonte: Glassnode
Additionally, Ethereum’s social dominance has increased, indicating a growing interest and discussions about the cryptocurrency on social platforms.
The increase in this indicator reflects increased market attention, which could increase demand as more investors become aware of Ethereum’s price movements. If sustained, this traction could act as a catalyst to push ETH higher.
Ethereum IOMAP. Fonte: IntoTheBlock
Ethereum Price Prediction
From an on-chain perspective, the In/Out of Money Around Price (IOMAP) revealed that ETH could go much higher in the near term. IOMAP classifies addresses based on those that are profiting from the current price, those that are not, and holders at breakeven.
When an address buys a crypto at a price lower than the current value, it is in the money. On the other hand, if addresses accumulate at a higher value, they are out of the money.
Read more: Ethereum (ETH) Price Prediction – 2024/2025/2030
Ethereum IOMAP. Fonte: IntoTheBlock
As seen above, the volume of ETH and the number of long-term holders of Ethereum in the money are much higher than those between $2,703 and $3,023. Therefore, it is likely that the price of the cryptocurrency could surpass $3,000 soon.
However, if buying pressure eases, this prediction may not come true. Instead, the price of Ethereum could drop to $2,355.
The article Could Ethereum (ETH) Surpass $3,000 Soon? Analysis Answers appeared first on BeInCrypto Brazil.
