In the bull market rebound of cryptocurrencies, Ethereum is facing a bear market transformation. Option data shows a cautious attitude, while the weakening of whale interest and the slowdown in internet speed have exacerbated concerns
In the bull market rebound of cryptocurrencies, Ethereum is facing a bear market transformation. Option data shows a cautious attitude, while the weakening of whale interest and the slowdown in internet speed have exacerbated concerns.
In the generally bullish cryptocurrency market, there has been a surprising shift in events, with Ethereum [ETH] facing bearish pressure. According to data from Greeks. Live, approximately 200000 ETH options are about to expire,Put optionThe ratio is 0.87, which is a clear sign of bearish sentiment. In addition, the highest pain level is $1650, with a total nominal value of $330 million.
When observing the decline in open positions on all exchanges, this increasingly bearish sentiment becomes more apparent. This indicates a weakening of interest in Ethereum options and futures. As an indicator of expected price fluctuationsImplied volatility There has also been a decrease. This may mean that the market expects ETH prices to remain relatively stable in the short term, indicating a lack of significant buying interest.
In addition, Ethereum's 25DeltaSkew (an indicator used to evaluate options market sentiment) has also experienced a downturn. This shift indicates that option traders tend to be more pessimistic in their emotions. Therefore, this may reflect a lack of confidence in the short-term price outlook of ETH.
Interestingly, contrary to these bearish indicators, neither long nor short positions in the ETH market have been heavily liquidated. This indicates that traders are being cautious about ETH and avoiding making large bets on cryptocurrencies.
Whales are not very interested
In addition to options market data, there is also evidence that whale interest in Ethereum is declining. According to Glassnode's data, the number of addresses holding 1000 or more ETHs has decreased to a five-year low, totaling 6010 addresses.
This indicates that important holders have either reduced their positions or transferred their ETHs elsewhere, which may have a negative impact on Ethereum's prices.
In addition, the Ethereum network shows signs of slowing down. The network growth that measures the number of new addresses interacting with ETH has been decreasing. In addition, the decrease in ETH transmission speed implies a decrease in ETH movement frequency between addresses. These indicators collectively indicate that people's new interest in Ethereum is weakening.
Finally, the market value to realized value (MVRV) ratio of Ethereum is relatively high. This ratio compares the market price with the actual price of ETH. A high MVRV ratio may indicate that profiteers are about to face selling pressure, which may cause downward pressure on ETH prices.
Bitcoin Price Forecast
Upon careful observation of the price trend within the 4-hour time frame, it can be observed that the pivot point is $27878. Bitcoin prices face direct resistance of $28565 and further resistance of $29261.
On the downside, the direct support level for this asset is $27275, with subsequent support levels of $26790 and $26435.
The relative strength index (RSI) has a value of 63, indicating a slightly bullish sentiment. The index is above the midpoint of 50, but has not yet reached the overbought area of 70.
In addition, the current price level of Bitcoin exceeds the 50 day moving average (EMA) of $27450, further confirming the current short-term bullish trend.
The 4-hour chart shows an upward channel pattern, indicating strong buying interest. The 50EMA consensus has driven additional purchasing sentiment. This combination suggests that the bullish trend of cryptocurrencies may continue.
As of now, there have been no significant fundamental news affecting the price of Bitcoin. In summary, the trend of Bitcoin tends to be bullish, especially if it remains above the key support of $27275.
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