Key Ethereum Metrics Point to Persistent Bullish Outlook for ETH: CryptoQuant

Key metrics on ethereum are painting a bullish outlook for the network's native cryptocurrency, ether (eth), despite its slow momentum over the past few weeks. The asset has struggled to match bitcoin (btc)'s momentum following the conclusion of the US presidential election, but on-chain metrics indicate an uptrend in the near term.

According to a analysis According to CryptoQuant official pseudonym EgyHash, factors such as ethereum funding rates and estimated leverage ratio suggest that traders are optimistic about ethereum's profit potential.

ethereum Metrics Paint a Bullish Outlook

The estimated ethereum leverage ratio indicates the tendency of investors to execute highly leveraged derivatives trades. The metric is currently at its peak, indicating sustained risk appetite among eth traders.

Furthermore, ethereum funding rates are moderately positive, indicating that long positions in eth are dominant but have not reached an extreme level. A moderately positive funding rate shows that there is still room for the eth price to rise without the risk of large-scale liquidations.

EgyHash highlighted the Korea Premium Index for ethereum, which has turned positive and is currently trading at a substantial premium. This index measures the price gap between South Korean crypto trading platforms and exchanges in other regions. The current status indicates growing interest in ethereum among Korean market participants, indicating positive market sentiment.

eth investors are buying

Furthermore, the CryptoQuant analyst mentioned that ethereum fund holdings have been increasing steadily. This can be seen in the US spot ethereum exchange-traded fund (ETF) market, which has <a target="_blank" href="https://www.coinglass.com/eth-etf” data-wpel-link=”external” target=”_blank”>recorded substantial entries in seven of the last nine business days.

Whales and large eth investors have also been aggressively accumulating the asset, reaching an all-time high of 57% in supply ownership despite the recent market correction. EgyHash said this indicates continued confidence among institutional and retail eth investors.

“Together, these factors point to a persistent bullish outlook for ethereum, as market participants appear willing to maintain, and potentially increase, their exposure to the asset,” EgyHash added.

Meanwhile, data from CoinMarketCap <a target="_blank" href="https://coinmarketcap.com/currencies/ethereum/” data-wpel-link=”external” target=”_blank”>presented eth is trading at #3344 at the time of writing, down 14% weekly and up slightly in the last 24 hours.

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