Ethereum Accumulation Addresses See Record Inflows Amid Price Decline and Weak DeFi Activity
The post Ethereum Accumulation Addresses See Record Inflows Amid Price Decline and Weak DeFi Activity appeared on BitcoinEthereumNews.com.
Ethereum has experienced record inflows into accumulation addresses, yet challenges remain as the ETH price hovers around $1,400 amid weak DeFi activity. Despite strong accumulation, the overall market sentiment faces headwinds, with a long-term price downtrend posing significant uncertainty for investors. “Holders in accumulation addresses are currently underwater, with a realized price of $1,981, indicating the risks of holding at this level,” says a source from COINOTAG. Ethereum’s accumulation addresses saw record inflows as prices dip to $1,400, yet weak DeFi activity and ongoing downtrends present significant challenges. Ethereum’s Accumulation Activity: Record Inflows Amid Price Challenges On April 22, Ethereum recorded a remarkable inflow of 449,000 Ether (ETH) into accumulation addresses, marking the highest single-day inflow in its history. This spike in accumulation activity indicates that long-term holders continue to show optimism about the second-largest cryptocurrency, even as the price fell to around $1,400. The average price at which these inflows occurred was approximately $1,750. This suggests a strong belief in Ethereum’s potential recovery, despite short-term price fluctuations. Onchain Activity and Market Engagement Analysis Furthermore, active addresses on Ethereum rose by about 10% between April 20 and April 22, increasing from 306,211 to 336,366. This significant engagement underscores growing interest within the Ethereum network. However, it should be noted that decentralized finance (DeFi) activity through decentralized exchanges (DEXs) continues to present a mixed outlook. Data from DefiLlama shows that DEX transaction volumes have remained relatively stable, averaging around 1.3 million transactions weekly, indicating a lack of momentum within the DeFi sector. Key Resistance Levels and Technical Analysis for Ethereum Technical analysis reveals significant resistance around the $1,895 mark, as indicated by the Cost Basis Distribution (CBD) heatmap, which shows that 1.64 million ETH is held at this price level by investors. This concentration could exert selling pressure as many may…
Filed under: News - @ April 25, 2025 12:20 am