Ethereum's price movement today can be attributed to a significant outflow of ETH from exchanges, which has reached a two-month high. According to IntoTheBlock, over $1.4 billion worth of Ethereum has been withdrawn from exchanges, indicating a shift in investor behavior towards holding rather than selling. This trend suggests that investors are banking on a potential price increase, as they move their assets to private wallets. The decrease in selling pressure, as highlighted by CryptoQuant, further supports this sentiment, with net flows remaining negative despite increased inflows and outflows.
Additionally, the broader digital currency ecosystem is experiencing a mild rebound, with Ethereum's price seeing a slight uptick. On-chain data shows a reduction in volatility, hinting at a potential trend reversal. The Moving Average Convergence Divergence (MACD) indicator on Ethereum's 4-hour chart suggests a shift from bearish to bullish momentum, which could push ETH towards the $3,700 price level, according to cryptocurrency and forex trader Merlijn The Trader.
Ethereum's price has increased by 0.80% today, reaching $3,292.37, with a high of $3,317.39 and a low of $3,222.13.