TL;DR
- Ethereum demonstrates resilience with strong bullish momentum, surpassing $2,700 and hinting at a potential rebound.
- Increased on-chain activity and investor confidence, with 0.83% of ETH supply moving to cold wallets, reducing sell-off risk.
- Bullish technical indicators (RSI, MACD) and robust institutional interest support a positive outlook for Ethereum’s price recovery.
Amid a turbulent crypto market, Ethereum has demonstrated remarkable resilience. Despite the broader market downturn, ETH’s price movements suggest a potential rebound. The leading altcoin started the week with strong bullish momentum, with its price surpassing $2,700. Many market participants believe this recent surge is just the beginning.
On-Chain Activity and Market Sentiment
Santiment took to social media platform X to present a bullish case for Ethereum. They highlighted that Ethereum has shown early signs of a rebound, with its value hitting $2,745 on Monday.
📈 Ethereum has shown mild signs of a rebound, currently back up to a market value of $2,745 and outpacing most altcoins to start the week. From a long-term perspective, ETH continues to move off of exchanges and into cold wallets at a shocking pace, with just 6.38% of the… pic.twitter.com/4MTJgpOLDT
— Santiment (@santimentfeed) February 17, 2025
Furthermore, ETH has surpassed most altcoins, including Solana, XRP, and Binance Coin since the start of the week. Santiment also observed that Ethereum exhibits strong long-term performance, supported by continuous movement from exchanges to cold wallets. Notably, 0.83% of Ethereum’s total supply has been transferred off exchanges in the past two weeks.
These transfers indicate that investors are confident in ETH’s future and are willing to hold the coin for the long term, this also reduces the likelihood of a major sell-off. Only 6.38% of Ethereum’s supply is currently available on exchanges, the lowest since its inception.
Technical Indicators
Technical analysis further supports the notion of a potential rebound for Ethereum. Key indicators such as the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are showing bullish signals.
The RSI has moved out of the oversold territory, suggesting that the selling pressure may be easing. Meanwhile, the MACD has formed a bullish crossover, indicating a potential upward momentum.
Institutional Interest
Institutional interest in Ethereum remains robust, with significant investments flowing into the asset. Large-scale investors, often referred to as “whales,” have been accumulating Ethereum, signaling confidence in its long-term prospects.
This accumulation phase is typically followed by price appreciation as demand outstrips supply. While the broader cryptocurrency market faces challenges, Ethereum’s resilience and positive indicators suggest that a rebound may be on the horizon.
Increased on-chain activity, bullish technical signals, strong institutional interest, and upcoming network upgrades all contribute to the optimistic outlook for Ethereum. As the market navigates through this period of volatility, Ethereum’s strength could pave the way for a significant price recovery.
