The price trend of Ethereum has turned bullish in the past 24 hours. Selling pressure on Ethereum increased last week.
The behavior of whales has a significant impact on cryptocurrency prices, including top coins like Ethereum. The latest analysis correctly points out an interesting development. Additionally, a key indicator for ETH suggests that investors may soon see a price increase.
The Ethereum and Bitmex Connection
Analyst and author BlitzzTrading of CryptoQuant recently published an analysis article highlighting a unique trend. According to the analysis, as Ethereum reserves sharply increase, the ETH price decreases significantly.
For example, on September 28th, Bitmex’s Ethereum reserves saw a significant drop, followed by an increase in ETH price.
This correlation between ETH and Bitmex implies that when Ethereum whales on Bitmex buy, we observe a decrease in reserves.
Conversely, when they sell, we see an increase in Bitmex reserves. As of the time of writing, Bitmex’s ETH reserves remain relatively low.
Ethereum at the Market Bottom
Meanwhile, after several days of adjustment, the price of Ethereum has finally turned bullish. According to CoinMarketCap data, the price of ETH has increased by nearly 2% in the past 24 hours.
At the time of writing, ETH is trading at $3428.69 with a market cap exceeding $412 billion. Research by AMBCrypto on Glassnode data also highlights an optimistic indicator.
The Pi Cycle Top indicator shows that the price of ETH has bottomed out, implying a bullish rebound. If this turns out to be true, ETH may soon reach $5000.
Furthermore, as of the time of writing, Ethereum’s fear and greed index is at 32%, indicating the market is in the “fear” stage. Whenever the index reaches this level, it suggests a high likelihood of price increase.
However, data from Santiment shows significant selling pressure on the token. With an increase in ETH supply on exchanges, this seems to be the case.
Additionally, its inflow from exchanges has surged, indicating increased selling pressure that could limit the price rise of ETH.
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Like the aforementioned indicators, some market indicators also hold a bearish view on the token. For example, Ethereum’s relative strength index (RSI) and Chaikin Money Flow (CMF) are hovering near their respective neutral points.
Nevertheless, the Money Flow Index (MFI) appears bullish as it moves north, indicating a sustained price increase.
