Here's How Many Ethereum (ETH) Holders Are Profiting After September's Crash

Blockchain intelligence platform IntoTheBlock has revealed a new metric showing that 61% of eth holders are in profit.

This record comes at a time when Ether (eth) and other altcoins are experiencing significant downward trends in their prices. In the past 24 hours alone, the second-largest cryptocurrency has fallen by more than 4%, bringing its trading price to around $2,300.

61% of eth holders are in profit

Data from IntoTheBlock x.com/intotheblock/status/1835606210004861414″ data-wpel-link=”external” target=”_blank”>presented the second largest crypto asset with historical inflows and outflows of money since 2016.

The metric shows that eth holders’ profits fell by as much as 3% after the 2017 cycle. Such a depth is usually accompanied by a significant price decline as several investors scramble to sell their eth holdings to see profits.

Fast forward to the 2019-2020 cycle, in-the-money eth wallets dipped below 10% as bearish trends engulfed the market. With the 2021 bull run, where eth reached its peak value of $4,870, those in the money soared to record levels at the time.

The chart also shows that eth wallet addresses in profit dropped to 46% during a recent market crash earlier this year. With the percentage of profitable eth holders currently at 61%, investors are less likely to feel pressured to sell their Ether assets, which benefits overall market performance.

A bearish September

This month has been eth’s worst performance since February as the asset fell below $2,300 once again today.

In a recent report, Bitwise CEO Matt Hougan highlighted three potential drivers of the cryptocurrency market’s bearish trend every September. Among his reasons, he explained that risk assets like bitcoin and other cryptocurrencies typically perform poorly in September. The Bitwise executive added that investors typically expect the cryptocurrency market to underperform during the month, which drives the market’s performance.

Despite the current bearish trend, Hougan expressed his belief that Uptober (October) will attract bulls, driving the prices of assets like eth to impressive heights.

What worries ethereum bulls the most is the eth/btc pair, which fell to a 3.5-year low. This means that eth has been losing a lot of ground compared to the largest digital asset.

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