The post Ethereum’s transaction size falls 54%: Why it’s not bad news for ETH appeared on BitcoinEthereumNews.com.

ETH could be close to its bottom after the transaction size failed to spike. While the price might slip, traders are convinced of a quick recovery. On the 19th of May, AMBCrypto observed that Ethereum’s [ETH] average transaction size had fallen to $2,767. This was a 54.13% decline from the metric when the month began. At that time, the average transaction size was $5,893, according to data from IntoTheBlock. For the uninitiated, the average transaction size checks in dollar terms the mean transaction value for an asset on a particular day. Historically, spikes in this metric signal high user activity—Especially from large investors and institutions. But when it decreases, it implies an absence of institutional interaction. Institutions out, retail in As such, the recent state of Ethereum implies a presence of more retail users. Apart from that, this indicator identifies potential tops and bottoms. From the value mentioned, it was obvious that ETH seemed closer to its bottom than the top. At press time, ETH’s price was $3,106, indicating that it had swung around the same range in the last 24 hours. Source: IntoTheBlock Going by the analysis above, the price of the cryptocurrency could be set to hit a higher value in the short term. However, other metrics need to be considered. As a result of this, AMBCrypto looked at the Ethereum Exchange Net Position Change. According to data obtained from Glassnode, the Exchange Net Position Change has been in the negative region for most of the last 30 days. ETH gets set for a big move This metric tracks the 30-day change of the supply held in exchange wallets. A positive value indicates that more coins are in exchanges. On the other hand, a negative value indicates increased withdrawals from exchanges. One thing we noticed was that the…

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Filed under: News - @ May 20, 2024 3:26 am