Thanks to a recent bullish market trend, Ethereum now trades above $1,300 again. A significant value, as it will put the majority of traders in profit. However, nearly 480,000 ETH addresses are still dealing with a financial loss.
Most ETH Traders Are In Profit
Investing in cryptocurrencies is never an easy or straightforward idea. These markets are notoriously volatile. During the recent “crypto winter’ of 2018 and 2019, all markets were subdued and kept trending lower. It is only recently that the momentum took a turn for the better. None of the top crypto markets have looked back since then.
With a current price of $1,365, Ethereum trades 6.3% below its all-time high. Additionally, this all-time high dates back six days, indicating the momentum may be turning a bit sour. Reclaiming the high of $1,459 should not be much of a challenge, but these markets often behave in funny ways.
Statistics by Glassmode confirm 99.093% of all ETH addresses are currently in profit. A healthy sign, considering roughly 15% of addresses were in profit two years ago. The market has come a long way since the recent bear market, but there is still work to do. Some traders will argue new all-time high counts when ETH/BTC posts a new top. That seems far out of reach at this point.
More specifically, the ETH/BTC alt-time high is nearly 0.14 BTC per CoinGecko. At the current rate of 0.04 BTC per ETH, Ethereum needs to triple in price
. That would put the Ether value at over $4,000, a value that doesn’t seem too ludicrous. Whether that target is realistic is a different matter.
Nearly 480,000 Addresses In Loss
Despite the growing number of Ethereum addresses in profit, one can’t overlook the remaining 0.807%. All of those wallets are still dealing with a loss. It cannot be a steep loss, as Ethereum never traded more than $100 higher than its current price. Even so, overcoming this gap may prove incredibly challenging, given the current market conditions.
With still nearly 480,000 ETH addresses in loss, an exciting scenario occurs. It is unclear who controls these wallets and how many belong to exchanges or Ethereum 2.0 stakers. To the average onlooker, nearly 480,000 wallets may seem like a lot. However, this doesn’t represent the number of people who miss out on profit. Multiple wallets may belong to the same entities.
If Ethereum manages to get 100% of its wallets in profit again, a strong bull run may materialize. The current price levels seem to act as a psychological barrier, rather than a real “top”. Breaking out to higher values remains very likely, albeit it may take weeks or months to happen.