4 Metrics Fueling Reduced Ethereum Selling Pressure: What’s Next?
The post 4 Metrics Fueling Reduced Ethereum Selling Pressure: What’s Next? appeared on BitcoinEthereumNews.com.
Ethereum (ETH) has been stuck in a tight trading range between $3,300 and $3,500 over the past two weeks. This sideways movement left traders and investors eager for signs of recovery. What’s an ETH price prediction for 2025? Several market indicators suggest that Ethereum’s ETH might be gearing up for a breakthrough in early 2025. For investors wondering what crypto coins to buy, ETH remains a strong prospect. Source: Brave New Coin’s Ethereum Liquid Index Recent insights from CryptoQuant analyst Burak Kesmeci shed light on Ethereum’s Futures market dynamics. Kesmeci highlighted four key metrics—Funding Rate, Taker Buy-Sell Ratio, Open Interest, and liquidations—that have played a crucial role in shaping Ethereum’s price movement. Source: CryptoQuant The Funding Rate stood at a healthy 0.01 at the time of analysis. This figure indicates that traders in long positions are confidently supporting Ethereum’s spot market, a promising sign for sustained stability. Furthermore, the Taker Buy-Sell Ratio of 0.57 underscored a prevailing buying sentiment among derivatives market participants, which could potentially fuel demand-driven price surges. Bullish Indicators Spark Investor Optimism Open Interest, a measure of market activity, experienced a modest increase of 3.18% within 24 hours. This uptick signals a renewed interest in Ethereum derivatives, though it appears to be a short-term trend. Meanwhile, $6 million worth of short positions were liquidated during the same period. The active liquidation of these bearish bets reduced selling pressure and countered the effects of heightened Open Interest. The easing of sell pressure in Futures markets paints an encouraging picture for Ethereum bulls, who are actively stepping into the market. However, Futures markets tell only part of the story. Spot market behavior offers additional insights into Ethereum’s performance and investor sentiment. Source: Cryptoquant The exchange supply ratio—a metric reflecting the proportion of ETH held on exchanges—dropped to 0.14 over…
Filed under: News - @ December 31, 2024 2:24 pm