Ethereum course reaches crucial level: has the soil finally reached?

Ethereum (ETH) seems to have ended up at a crucial point. The king under the Altcoins reached an important level this week that more often acted as a foundation for long -term recovery periods in the past. Yet there are also signals that warn of caution.

Realized price as a guideline

According to on-chain data from cryptoquant analysts, the ETH prize has dropped under its so-called ‘realized price’. This level, which represents the average purchase price of all in circulating Ethereum, acts historically as an important support point.

“These periods are consistently followed by strong recovery movements. For long -term investors, these kinds of moments often offer an attractive moment of entry.”

The graph below shows that even in 2018 and 2020 the tapping of the realized price preceded a market -wide revival for ETH.

Cold reception of ETFs and stagnant network group

Despite the positive signal from the realized price, the demand for Ethereum is currently weak. American spot eth ETFs have been seeing outflow for six weeks in a row, which indicates that institutional investors are looking out of the tree for the time being.

In addition, data from Glassnode points to flat network growth. The number of active Ethereum addresses has hardly changed for four years. Although some claim that users have switched to Layer-2 solutions and other blockchain networks, this fact undermines confidence in a widely supported recovery.

Technical prospects and risks for ETH

In recent weeks, the ETH price has fallen below $ 1,500, the lowest level in two years. Although the race has risen considerably in the past day, it is still about 60% under the peak of last December with a current level of $ 1,600.

Based on current macro-economic uncertainty, including interest in interest and geopolitical tensions, analysts do not exclude a further decrease towards $ 1,000. Only if sentiment on the financial markets improves would a sustainable recovery be possible.

Ethereum is at a crossroads. The realized price offers hope, but the larger picture remains complex and the downward risk has certainly not disappeared. The continuing outflow from ETFs and stagnating network growth cast a shadow over the recovery scenario.