Ethereum has been at the forefront of the crypto market recovery lately. Indeed, the price of Ethereum had rallied following an important update regarding the upcoming merger, and the market had rallied in kind. The price of ETH had quickly reached highs within a month and saw its value exceed $1,700. This had undoubtedly put a good number of ETH investors ahead when it came to profit.
ETH profitability increases
Ethereum had seen its profitability decline following the stock market crash that shook the month of June. For the first time in a year, the percentage of Ethereum holders who had made a profit had fallen below half, causing intense selling pressure in the market. However, the recovery would come as quickly as the crash, and the majority would again be thrown into profit.
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This is currently the case where more than half of all ETH investors are currently seeing profits. According to data from IntoTheBlock, ETH investors who are in the money make up a total of 57% at the time of writing. This has been accompanied by increased confidence in the cryptocurrency, as only 41% of all holders are currently experiencing a loss, with 2% tentatively remaining in neutral territory.
Another interesting metric regarding the digital asset is the number of long-term holders it has. With 62% of all investors holding their coins for more than a year, this means almost everyone making a profit is a long-term holder, further promoting the belief that diamond hands are the most rewarded in crypto.
Ethereum Investors Profit
With the price recovery, there has been a lot of selling in Ethereum. This is understandable, given that investors would like to take profits after the June crash. This has seen forex inflows surge over the past week.
ETH falls below $1,700 | Source: ETHUSD on TradingView.com
Exchange data shows that in the last week alone, $3.2 billion worth of ETH poured into exchanges, compared to $2.9 billion flowing out. This shows that there are more sellers than buyers in the current market, which would explain the downtrend that saw the price of ETH drop below $1,700.
However, it seems that the tide is starting to turn on this front, given the Last day net ETH flows. A total of $188 million in ETH had flowed into exchanges, while $199.8 million had flowed out. Not a big margin, but that means investors start accumulating as the price has gone down.
ETH is trading at $1,655 at the time of this writing. It remains the second largest cryptocurrency with a market capitalization of over $200 billion.
Featured image from CoinQuora, chart from TradingView.com
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