The cryptocurrency market, especially Ethereum, continues to see red flags throughout the ecosystem. But despite these warning signs, stakeholders and owners continue to build their own Ethereum (Merge) fortress.
Falling but not dead
The cryptocurrency industry has lost 6.8% of its value in the past 24 hours, with $300 million worth of positions liquidating in the carnage. Ethereum, the largest altcoin on the market, is probably the hardest hit here.
In fact, at the time of writing, ETH is down 11.7% to trade below $1,500 for the first time in weeks.
However, ETH traders were not deterred from their HODL status for the token. Simply put, long-term assets have been bought in Ethereum, despite the crypto-asset price struggle in second place. These owners continue to see significant profit margins as well.
For example, the number of addresses with 10+ ETH hit a record high, as shown by Glassnode, an analytics firm.
IntoTheBlock further revealed that 56% of all Ethereum investors are currently winning. This is a big difference from the numbers recorded in July.
At current prices, only 44% of investors are posting losses, while 4% are in neutral territory, which means they bought their tokens around the current price.
This is one of the reasons why the number of ETH transfers (to exchanges) reached its lowest level in one month at 21,066,399. Low values of the index may indicate that the owners have not offered many currencies to the exchanges at the moment. Depending on whether they are also declining or not, this trend could be either bullish or neutral for the value of ETH on the charts.
However, it should be noted that caution should be exercised before opening a long ETH position.
What color is the grass here?
Well, anything green, especially for scammers. Given the pattern of accounts holding 32+ ETH, the community is clearly hungry to get started.
According to Glassnode, the number of addresses with more than 32 coins reached an 18-month high of 119,563. In fact, the chart below seems to confirm the same thing as well.
Additionally, in anticipation of Ethereum’s upgrade to Proof of Stake, over 13% of ETH supply has been sent to Ethereum 2.0 escrow nodes. According to the latest insights, the total value of the ETH 2.0 deposit contract receipt ATH stands at 13388,454 ETH.
The Beacon Chain Depository Contract, which was launched in November 2020, allows ETH holders to secure their assets ahead of the exchange. That is certainly the case here with the world’s largest alternative digital currency.