Metric analysis

Ethereum indicates an accumulation pattern according to this metric, the data shows

According to data provided by Saniment, despite the volatility of ETH, the average age of ETH coins continues to grow steadily, indicating an accumulation trend. Mean Coin Dollar Age is the average age of all coins/tokens on the blockchain weighted by purchase price. This indicator makes it possible to estimate the proportion of Long-Term Holders.

It could also suggest that large Ethereum addresses are still accumulating funds in the market despite the cryptocurrency’s suppressed performance.

By CoinMarketCap data, at a current price of $2,980, Ethereum is down almost 50% from its all-time highs. The reasons for this are the general correction in the market and the risk aversion tendencies in the financial markets‌.

Other bullish indicators

Ethereum is facing one of the largest exchange outflows, with nearly 151,000 withdrawals from exchanges on March 23, as InTheBlock the data suggests. On-chain analysis noticed that ETH reserves on centralized exchanges declined rapidly in 2022, totaling over 1.08 million.

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As U.Today previously reported, over 10 million ETH has already been pulled from the circulating market supply as ETH staking increases. Eight digits of Ether are now deposited in the contract, which makes it possible to receive a stable income with a certain amount of Ether blocked for at least three months. As Coinbase previously reported to its users, after a complete move to a proof-of-stake network, the APY will increase by 5% to 12%.

Ethereum bulls are looking to overcome a significant barrier at $3,000 as the community prepares for the merger of the Ethereum mainnet with the proof-of-stake Beacon chain. Last week, Ethereum developers successfully tested the long-awaited fusion of the programmable blockchain’s proof-of-work and proof-of-stake chains, dubbed Eth 2.0.

With the fusion test successfully completed, the researchers expect the mainnet launch to occur by the end of June. Observers predict increased institutional adoption once the Eth 2.0 upgrade is complete.