Metric analysis

Ethereum price retraces towards $1,800 as this metric points to the next direction of the trend

Tomiwabold Olajide

Ethereum price retraces towards $1800, this metric indicates the next trend direction

According to crypto analyst Ali Martinez, Ethereum network Activity remains a good metric that could be used to understand the trend direction of ETH. Downtrends are indicated by lower lows, while uptrends are indicated by higher highs.

The number of active ETH addresses continues to decline, according to the Glassnode chart attached to the tweet, as Ethereum’s downward trend continues.

Another indicator of the ETH trend is Ethereum’s transaction volume, which is at multi-year lows.

According InTheBlockEthereum transaction volume has been declining since May 2021, with a low of 1.22 million ETH on June 5. With fewer people using ETH to transact and buy NFTs, the price of Ethereum then went down.

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According to recent updates, the Ethereum PoS Merge transition on Ropsten test network should go live soon given the current hash rate.

Tim Beiko, a lead engineer at Ethereum, previously said that the oldest PoW testnet on the network is moving to proof-of-stake, with the merger slated for June 8.

CNBC “Mad Money” host Jim Cramer is a “believer” in cryptocurrencies, but only as a speculative investment that makes up less than 5% of a portfolio.

Cramer tells CNBC, “I can’t tell you not to own crypto; I own Ethereum.”

Cramer said he originally bought ETH to bid on a non-fungible token (NFT) at a charity event. He says, “They didn’t let me make any dollars. I had to buy it from Ethereum, so I did some research, and it has several features that I like.”

The long-term value of crypto, according to Cramer, “is its opportunity” as a decentralized, peer-to-peer currency that could be widely used over time. The Mad Money host, however, mainly bets on Bitcoin and Ethereum.