Ethereum's recent price movement is largely driven by a significant outflow of ETH from exchanges, reaching a two-month high. This trend indicates a shift in investor behavior towards holding rather than selling, as over $1.4 billion worth of Ethereum has been withdrawn. The decrease in selling pressure, despite increased inflows and outflows, suggests that investors are optimistic about a potential price increase. On-chain data also shows a reduction in volatility, hinting at a possible 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 higher price levels.
The Volatility Shares Trust 2x Ether ETF (ETHU) experienced a decline, dropping 1.77% to $7.22 as of 6:00 PM on Saturday, January 11.