Ethereum has reached its highest price level for more than two months. On-chain metrics indicate that accumulation of the asset is accelerating.
Ethereum has outperformed Bitcoin today, notching a gain of 6.7% over the past 12 hours. The move pushed ETH prices to a nine-week high of $1,410 during the Thursday morning Asian trading session.
Furthermore, it is the highest price Ethereum has been since it crashed by 26% on Nov. 9. The asset is on the way to recovering most of its losses from the FTX collapse and the resultant market slump two months ago.
Ethereum is currently trading close to its 2018 market cycle peak, which appears to be serving as resistance.
Ethereum Accumulation Continues
On-chain analytics platform Santiment reported that there has been a lot of accumulation over the past two months. It refers to ‘shark addresses,’ which are wallets that hold between 100 and 10,000 ETH.
This cohort has been the largest accumulator of the asset since November. “48,556 shark addresses is the highest level recorded since February 2021,” it noted.
Furthermore, Ethereum staking has also just reached a new milestone. There are now 16 million ETH staked on the Beacon Chain. At current prices, this is worth approximately $22.4 billion.
The staked stash represents around 13.3% of the total supply of ETH, which is 120.5 million. Additionally, Ethereum issuance is virtually zero, or 0.006% per year, according to the Ultrasound Money tracker.
Daily Ethereum transactions are around 1 million, which is impressive for a bear market. They peaked at around 1.7 million per day in the bull market, which is a testament to sustained on-chain activity.
ETH Price Outlook
ETH prices need to break resistance at this level for momentum to continue. From here, the next major resistance level is at around $1,600, a price that was last visited on Nov. 6.
On the downside, there is solid support at the $1,200 level, where the asset traded for the last two weeks of 2022.
At the time of press, ETH was changing hands for $1,401, following a weekly gain of 11.6%. However, the world’s second-largest digital asset is still down 71.3% from its November 2021 all-time high.
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