After barely setting a new price record last summer at nearly $5,000, ETH joined the rest of the market in the post-October slump and dumped by almost 50% in months. It tried to resume its run in mid-January when it jumped to $3,400, but it was rejected again, and the subsequent correction pushed it south to $1,800 on a couple of occasions.
Although it has managed to defend that level for now, it still trades 45% lower than its mid-January peak. Substantial sell-offs have continued, while one popular analyst laid out what could be valid entry points for long-term exposure.
Sell-Offs Continue
If we compare ETH’s price with net flows into spot Ethereum ETFs, we will see a strong resemblance in investor behavior and price moves. For instance, the cumulative net flows peaked at over $15 billion in early October before the massive October 10 crash. Since then, outflows have consistently dominated, with investors pulling out well over $3 billion by February 24.
In addition, Ethereum’s co-founder has also joined the selling spree. CryptoPotato has reported on several occasions on Vitalik Buterin’s substantial disposal of ETH tokens for the past several weeks. Most recent on-chain data shows that he has dumped roughly 17,000 ETH in less than a month, valued at around $34 million.
In a post titled “Vitalik Buterin Is Selling Ethereum Near the Bottom,” renowned analyst Ali Martinez explained why the co-founder might regret his timing as the bottom could be closer than expected.
ETH Entry Points
Martinez said one of the most reliable “bottom-detection metrics” for the largest altcoin – the MVRV Ratio – is currently at 0.78, while the asset has neared or reached a macro bottom at levels below 0.80.
However, his disclaimer indicated that just because Ethereum is currently undervalued according to on-chain metrics, this doesn’t mean that its price cannot go any lower – “especially during heavy distribution phases.”
If another correction is to occur, the analyst outlined the most critical levels that could hold its downfall – $1,800 (which was tested yesterday), followed by $1,584 (first major support below), $1,238 (secondary macro support), and $1,089 (deeper capitulation zone). Martinez believes these precise levels could be proper entry zones.
“If history rhymes, accumulation below $1,800 – particularly near $1,584, $1,238, and $1,089 – could offer strong long-term positioning. But, volatility is likely to persist before a confirmed bottom forms.”
The post Is Vitalik Selling the Bottom? Analyst Flags Massive ETH Buy Opportunity appeared first on CryptoPotato.
If history rhymes, here are the best ETH entry levels for the long-term. Crypto Bits, Crypto News, Ethereum (ETH) Price, Vitalik Buterin
This articles is written by : Nermeen Nabil Khear Abdelmalak
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