Number of cryptocurrency wallets with 10,000+ is soaring, hoping to see ETH rise higher this year, while Reddit has teamed up with Ethereum Foundation.
According to data provider CoinMetrics, the number of ETH wallets that hold 10,000 coins and more has demonstrated sharp growth this year, coming close to 1,250.
That is slightly below the all-time high seen in 2018.
Whales are purchasing 10,000 lumps of ETH
The founder of the Daily Gwei ETH platform, Anthony Sassano, has taken to Twitter to share the data provided by CoinMetrics.
The chart Sassano posted shows that the amount of addresses with more than 10,000 ETH has seen a major rise in 2021, almost hitting 1,250 and coming close to the all-time high witnessed by the market three years ago, in 2018.
Image via TwitterAt about the same time last year (Jan. 26), the amount of wallets holding 10,000+ ETH totaled 1,080, according to data by Glassnode.
Ethereum hits two all-time highs in a row
Ethereum investors have become much more active in late 2020 as the upcoming launch of the long-expected upgrade, ETH 2.0, was announced. Stakers began locking a minimum of 32 ETH in the deposit contract and then, in early December, the zero phase of Ethereum 2.0 was launched.
Besides, the explosive growth of DeFi platforms such as SushiSwap, Uniswap, Compound and others also attracted ETH investors who started yield farming on those dapps and expected ETH to print a massive rise.
The year of 2021 started with Ethereum printing two consecutive all-time highs, the second reached on Jan. 25 at the $1,467 level.
At press time, the cryptocurrency with the second largest market cap is sitting at $1,318, according to data from CoinMarketCap.
Ethereum Foundation partners with Reddit
The largest social media platform for news aggregation and discussion, Reddit, has entered into a partnership with Ethereum Foundation to produce scaling tools for the DLT platform.
Through this partnership, we will be increasing our commitment to blockchain, accelerating scaling and resources for the Ethereum ecosystem, and bringing the value and independence of blockchain technology to millions of redditors.
Reddit keeps gaining new users with over 50 million at present and hundreds of new communities.
Against Bitcoin, Ethereum fared better, with the ETH/BTC pair having bounced near lows last seen in late July.
Bitcoin could see “additional topside euphoria”
Having similarly failed to hold significantly higher levels, Bitcoin itself took an extended break as overheated markets cooled their excitement.
Funding rates were returning to normal on Friday, having reached a state reminiscient of the blow-off top from April.
Bitcoin funding rates chart. Source: Bybt
As with open interest, however, these were not as frenzied as the Q2 rush, which produced the $64,900 all-time high in place until this week.
“This means there is possibly still room for additional topside euphoria but we are at levels that are starting to stretch the market,” crypto trading firm QCP Capital commented in its latest market update.
Ethereum are trading at 4188 and continue to move within the framework of a strong rise and a bullish channel. The capitalization of the Ethereum cryptocurrency at the time of the publication of the forecast is $481,387,860,771. Moving averages indicate a short-term bullish trend for Ethereum. Prices went up from the area between the signal lines, which indicates pressure from buyers and a potential continuation of the rise in the asset value from the current levels. At the moment, we should expect an attempt to develop a correction in the value of the coin and a test of the resistance level near the 3345 area. Where again should we expect a rebound and a continuation of the rise in the Ethereum rate with a potential target above 4955.
Ethereum Forecast and ETH/USD Analysis October 22, 2021
An additional signal in favor of the growth of ETH/USD quotes will be a test of the support line on the relative strength index (RSI). The second signal will be a rebound from the lower border of the bullish channel. Cancellation of the option to raise the cryptocurrency will be a fall and a breakdown of the level of 3105. This will indicate a breakdown of the support area and a continued fall in ETH/USD quotes below the level of 2705. With the breakdown of the resistance area and closing of quotes above the level of 4505, we should expect confirmation of the development of a bullish movement in Ethereum.
Ethereum Forecast and ETH/USD Analysis October 22, 2021 suggests an attempt to correct and test the support area near the level of 3345. Where can we expect a rebound and the continuation of the rise of the ETH/USD cryptocurrency to the area above the level of 4955. An additional signal in favor of the rise of Ethereum will be a test of the line trend on the relative strength index (RSI). Cancellation of the growth option for the digital currency will be a breakdown of the 3105 area. This will indicate a continued fall in the digital currency with a potential target below the level of 2705.
A popular crypto trader is predicting what needs to happen for Ethereum’s (ETH) price to surge even further.
In the TechnicalRoundup newsletter, the pseudonymous analyst DonAlt says ETH is likely to underperform during a Bitcoin (BTC) breakout but will overperform later if the market rides “a multi-month uptrend.”
“As Bitcoin gets sufficiently pumped (very technical term) risk trickles down to lower market cap assets, including Ethereum.
From a technical point of view, the market is in a range between support (low-mid $3000s) and resistance ($4000).
Given the relative strength of the market and the proximity to new all-time highs, a range breakout is more likely than a range breakdown.
Generally, triple tops aren’t compelling resistance structures, especially those that form at prior all-time highs.”
Ethereum is trading at $4,189 at time of writing, up more than 16% in the past week, according to CoinGecko. The second-biggest crypto asset by market cap hit its all-time high of $4,356 in mid-May.
DonAlt thinks Bitcoin currently offers traders more upside than downside.
“If you long Ethereum and you’re right, you’ll probably make less money than longing Bitcoin. If you long Ethereum and you’re wrong, you’ll probably lose more money than longing Bitcoin.
Our conviction on this isn’t incredibly high, but the likelihood of a Bitcoin-dominant breakout is one worth considering.
In our view, the time to rotate into Ethereum will come once the breakout dust has settled. A large puke in Ethereum/Bitcoin would be a good time to start looking for punts.