On-chain data indicates that Ethereum trades near levels of significant demand as cryptocurrency markets continue to be volatile. After weeks of pressure, the second largest cryptocurrency in terms of market capitalization has remained near short-term supports.
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- Ethereum nears critical supportEthereum trades near support levels for short-term after several weeks of heavy selling. Data from CryptoQuant on the blockchain shows the price to be around 8% over the Accumulation Adresses Realized Prices, an important metric used by long-term investors.
- The long-term holders are still activeThe market is volatile, but 17 million Ethereums have been credited to accumulation addresses by 2025. Their balance has increased from 10 millions coins to more than 27 million, which indicates that investors continue their interest.
- Mixed signals in technical analysisEthereum maintains its position near to the 200-week average moving, but the 50-week average moving is acting as a resistance. Breaking above or below this level could be a sign of a new market trend.
Ethereum’s price at the moment is $2967.76. This is a drop of 23.4% in the last month. However, the price sits approximately 8% above the Accumulation Addresses Realized Price level — a metric representing the average cost basis of long-term investors who have acquired the asset during previous market cycles, according to CryptoQuant’s Burak Kesmeci is an analyst.
Kesmeci, in his report, stated that the Accumulation addresses Realized price level is a measure of the cost-basis average for long-term Ethereum investors who acquired cryptocurrency over multiple market cycles. The analysis shows that this group of investors typically buys during market turmoil.
Data from the past shows that Ethereum fell below this threshold only one time, in April when markets were experiencing increased uncertainty. According to data, The Global Economic Policy Uncertainty Index(GEPUCURRENT), reached levels that were higher than the COVID-19 Pandemic Peak.
Around 17,000,000 coins were deposited in accumulation addresses by 2025. This increased the balance of these wallets, which had been 10,000,000, to more than 27,000,000. The accumulation took place despite the market’s volatility.
The technical analysis of Ethereum’s weekly chart shows that the asset is still above the structural support at the 200-week moving median, which has been a significant level for price bottoms during previous cycles. Chart data shows that the price briefly fell below this area last week, before recovering.
The 50-week average moving price serves as an immediate obstacle above current levels. The move over that moving average could indicate a shift in momentum. A break below the nearby structural support may trigger a further correction towards the Accumulation Price Level identified by the CryptoQuant Analysis.
The market observers have noted that the current price is similar to past correction phases. They include the April 2025 drop, in which Ethereum was tested at long-term supports levels, before it recovered. According to analysts, the convergence of technical metrics and on-chain metrics suggest that current prices are attracting attention from institutional and long-term investors.
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Source: crypto.news
