As a seasoned crypto investor, I’ve seen my fair share of market fluctuations and have learned to read between the lines when it comes to on-chain data. The recent drop in Ethereum gas fees to a two-month low has me feeling a mix of excitement and caution.
As an Ethereum investor, I’m on the edge of my seat, anxiously waiting for the U.S. SEC’s final decision on spot Ethereum ETF approval. But just as we were about to get that long-awaited green light, something unexpected happened – Ethereum gas fees plunged to their lowest point in two months. This sudden drop could be a sign of decreased activity on the Ethereum network.
Ethereum Gas Fee Drop Suggests Major Inactivity
Expert: Cryptoquant, a data provider that specializes in on-chain analysis, has recently unveiled a graph illustrating the current trend in Ethereum’s average gas fee (gwei). According to the provided chart, the gas fee has plunged to its lowest point since May 2024, signaling a significant decrease in transactions taking place on the Ethereum blockchain network. Historically, this chart demonstrates a clear connection between escalating gas fees and rising ETH prices.
The drop in gas fees provokes speculation that we may be experiencing a period of tranquility prior to potential turbulence. With the anticipated approval of the Ethereum Spot ETF approaching, this notion is particularly intriguing.
Alternatively, Ethereum’s staking reach an all-time peak prior to the anticipated ETF approval, with major Ethereum holders amassing and transferring coins for staking in recent weeks.
JustIN Sun, the founder of Tron, acquired approximately $5 million worth of ETH the day prior. Over the past few months, since February, Sun has been actively purchasing ETH, amassing a total of around $1.1 billion in holdings. He anticipates a significant price increase following the approval of the ETH exchange-traded fund (ETF).
Ethereum ETF Approval and ETH Price Action
On Thursday, the Ethereum price made an effort to exceed the $3,200 mark, but the bullish momentum faltered, resulting in a retreat to $3,070. For Ethereum to resume its bull run and achieve a technical breakout, it must first overcome the resistance at $3,200, as shown in the following chart:
Regarding Ethereum’s $ETH, my optimistic outlook remains as I anticipate further price increases. However, we haven’t yet surpassed the diagonal resistance and the On Balance Volume (OBV) has yet to show a clear breakout. The OBV’s V-shaped pattern is promising, but I must be cautious if both resistance levels are rejected.
— IncomeSharks (@IncomeSharks) July 11, 2024
As a crypto investor, I’m excited about Katherine Dowling’s recent announcement from Bitwise that we’re nearing the end of the Ethereum ETF approval process. Potential issuers, including myself, are eagerly anticipating updates from the SEC. It will be intriguing to discover if there are more filings waiting in the wings before the final green light is given.
Read More
- BTC PREDICTION. BTC cryptocurrency
- LUNC PREDICTION. LUNC cryptocurrency
- SOL PREDICTION. SOL cryptocurrency
- USD COP PREDICTION
- TAO PREDICTION. TAO cryptocurrency
- Ethereum (ETH) Crashes Dramatically, What’s Next? Solana (SOL) Can Still Reach $200, XRP Struggling Before $0.63 Test
- ALPINE PREDICTION. ALPINE cryptocurrency
- Bitcoin Vs. Ethereum: Why This Analyst Believes BTC Will Outperform ETH
- MicroStrategy Or Nvidia? MSTR Stock Outperforms World’s Largest Chip Manufacturer
- WazirX Moves To Recover $150 Million In Shiba Inu, Ethereum And Others With Bounty Program
2024-07-12 14:50