In a striking development for the cryptocurrency sector, Ethereum has seen $1.8 billion in ETH withdrawn from exchanges over the past week, the highest since December 2022. Amid ongoing price drops, this trend highlights increasing investor confidence, suggesting many are buying during the dip.
Analysis from IntoTheBlock and CryptoQuant shows the Market Value to Realized Value (MVRV) ratio of Ethereum plunged to 0.8 recently—a level typically associated with undervaluation. Historically, a low MVRV ratio has often preceded price recoveries, inferring that a market rebound might be on the horizon.
Despite the optimistic outflow data, Ethereum’s recent weekly close below the critical 200-day EMA points to possible challenges ahead. This technical threshold is closely watched as an indicator of long-term price stability. Overcoming this barrier could be decisive for Ethereum’s path forward.
As the market exhibits mixed signals, investors are advised to remain informed and tread cautiously, keeping in mind the inherent risks of cryptocurrency investments.Ethereum Sees Record $1.8B Outflow: Is the Market Bottom In Sight?
