BTC NOON
  • Home
  • Cryptocurrency
  • Bitcoin
  • Ethereum
  • Blockchain
  • Regulations
  • Altcoin
  • DeFi
  • Web 3.0
No Result
View All Result
BTC NOON
No Result
View All Result
Home Ethereum

Ethereum Rally Bull Trap? Here’s What This Metric Says

Xiao Chen Sun by Xiao Chen Sun
March 12, 2023
in Ethereum
0
Ethereum Rally Bull Trap? Here’s What This Metric Says
74
SHARES
1.2k
VIEWS
Share on FacebookShare on Twitter


You might also like

EOS takes Ethereum Virtual Machine for a spin: Testnet launch now live

Exploiter of Euler Finance Returns Another $37.1M Worth of ETH and DAI

Ethereum Supply On Exchanges Plunges To New All-Time Lows

Is the newest Ethereum rally a bull entice or the beginning of a contemporary bull market? Right here’s what the ETH-taker buy-sell ratio says about it.

Ethereum Taker Purchase/Promote Ratio Has Fallen Under 1 Lately

An analyst in a CryptoQuant post pointed out that the latest sentiment has been bearish in keeping with the metric. The “taker buy-sell ratio” is an indicator that measures the ratio between the taker purchase and taker promote volumes within the Ethereum futures market.

When the worth of this metric is larger than 1, it suggests the “lengthy” or the taker purchase quantity is increased than the “brief” or the taker promote quantity at the moment. Such a pattern means extra patrons are keen to amass cryptocurrency at a better value.

Alternatively, values of the ratio lower than the brink suggest the taker promote quantity is the extra dominant quantity within the futures market. Thus a bearish sentiment is shared by the bulk in the mean time.

Now, here’s a chart that reveals the pattern within the 30-day easy shifting common (SMA) Ethereum taker buy-sell ratio over the previous few years:

Bitcoin Taker Buy Sell Ratio

The 30-day SMA worth of the metric appears to have taken a deep plunge in latest days | Supply: CryptoQuant

As displayed within the above graph, the 30-day SMA Ethereum taker buy-sell ratio had shot above the 1 line with the latest rally within the asset value.

Which means the bulk sentiment within the ETH futures market had turned bullish because the coin’s worth rose. Nonetheless, the indicator’s worth dropped when the rally slowed, and the worth moved sideways.

The taker buy-sell ratio decline continued, and the metric quickly plunged under the one mark. This means that the brief quantity dominated the futures market following the consolidation.

The metric hit a low not too long ago that had simply been seen a yr in the past. From the chart, it’s obvious that with the newest leg up within the rally, the metric hasn’t proven any important will increase in its worth, and the dominant sentiment remains to be bearish.

Traditionally, the cryptocurrency has normally encountered tops each time the 30-day SMA taker buy-sell ratio has assumed such bearish values. A distinguished instance seen within the graph is the November 2021 bull run prime (that’s, the present all-time excessive value), which fashioned with values of the metric deep under the one mark.

The metric’s present worth isn’t as underwater as then, so it might nonetheless see some restoration within the coming days because the sentiment would possibly flip bullish once more with the rally persevering with.

Nonetheless, the quant cautions:

(…) the latest rally needs to be intently monitored within the weeks forward to find out whether or not this was simply one other bull entice or a starting of a brand new bull market, as sellers would possibly dominate once more.

ETH Value

On the time of writing, Ethereum is buying and selling round $1,600, up 4% within the final week.

Ethereum Price Chart

It appears to be like like the worth of the asset has declined over the past couple of days | Supply: ETHUSD on TradingView

Featured picture from Kanchanara on Unsplash.com, charts from TradingView.com, CryptoQuant.com



Source link

Tags: BullEthereumHeresMetricRallyTrap
Share30Tweet19
Xiao Chen Sun

Xiao Chen Sun

Recommended For You

EOS takes Ethereum Virtual Machine for a spin: Testnet launch now live

by Xiao Chen Sun
March 29, 2023
0
EOS takes Ethereum Virtual Machine for a spin: Testnet launch now live

EOS has launched its EVM feature on the testnet. Lack of high accumulation momentum drives down EOS’ value. Ahead of the mainnet launch in April, EOS Network launched...

Read more

Exploiter of Euler Finance Returns Another $37.1M Worth of ETH and DAI

by Xiao Chen Sun
March 28, 2023
0
Exploiter of Euler Finance Returns Another $37.1M Worth of ETH and DAI

Over the last week, the attacker of Euler Finance has released a total of $138 million which is 70% of the total amount stolen from the Euler Finance...

Read more

Ethereum Supply On Exchanges Plunges To New All-Time Lows

by Xiao Chen Sun
March 28, 2023
0
Ethereum Supply On Exchanges Plunges To New All-Time Lows

Ethereum supply on exchanges has continued to go down recently and has now touched a value of 10.3%, effectively a new all-time low. Just 10.3% Of The Total...

Read more

Devcon VI Recap, Resources & Wrap-Up!

by Xiao Chen Sun
March 28, 2023
0
Devcon VI Recap, Resources & Wrap-Up!

A few weeks ago in October, much of the Ethereum community came together in South America as we reunited for Devcon VI in Bogotá, Colombia! Today we want...

Read more

Ethereum [ETH] whales play ‘shy guy’ ahead of Shanghai Upgrade

by Xiao Chen Sun
March 27, 2023
0
Ethereum [ETH] whales play ‘shy guy’ ahead of Shanghai Upgrade

Holders of 10,000 to 1,000,000 ETH coins have reduced their holdings in the last month. Long-held ETH coins change hands as the Shanghai Upgrade draws closer. Ahead of...

Read more
Next Post
A developer’s guide to Solidity design patterns

A developer’s guide to Solidity design patterns

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Related News

EToro Copy Trading Alternative On DeFi (NST Airdrop 🪂)

EToro Copy Trading Alternative On DeFi (NST Airdrop 🪂)

March 23, 2023
Liquid Staking Platform Lido Sees Massive Inflow of 150,000 ETH from Tron Founder

Liquid Staking Platform Lido Sees Massive Inflow of 150,000 ETH from Tron Founder

March 8, 2023
Founder of BitMEX Is Proposing a Bitcoin-based Stablecoin

Founder of BitMEX Is Proposing a Bitcoin-based Stablecoin

March 10, 2023

Browse by Category

  • Altcoin
  • Artificial Intelligence
  • Bitcoin
  • Blockchain
  • Business
  • Cryptocurrencies
  • Cryptocurrency
  • Culture
  • DeFi
  • Education
  • Ethereum
  • Featured
  • News
  • Regulations
  • Uncategorized
  • Web 3.0

Recent News

The government should fear AI, not crypto: Galaxy Digital CEO

The government should fear AI, not crypto: Galaxy Digital CEO

March 29, 2023
Creating an Ethereum dApp With Ethers.js. Ether.js Tutorial

Creating an Ethereum dApp With Ethers.js. Ether.js Tutorial

March 29, 2023
EOS takes Ethereum Virtual Machine for a spin: Testnet launch now live

EOS takes Ethereum Virtual Machine for a spin: Testnet launch now live

March 29, 2023

Categories

  • Altcoin
  • Artificial Intelligence
  • Bitcoin
  • Blockchain
  • Business
  • Cryptocurrencies
  • Cryptocurrency
  • Culture
  • DeFi
  • Education
  • Ethereum
  • Featured
  • News
  • Regulations
  • Uncategorized
  • Web 3.0

Follow Us

Find Via Tags

Bank banks Binance Bitcoin Blockchain Blog BTC CFTC Chain Circle Coinbase Crypto data decentralized DeFi digital ETH Ethereum Exchange Fed finance Financial Foundation FTX Heres high hits IBM Launches market Network Platform Polygon Price Project Report SEC Shanghai Stablecoin Supply Token Top Trading USDC Web3

© 2023 BTC NOON | All Rights Reserved

No Result
View All Result
  • Home
  • Cryptocurrency
  • Bitcoin
  • Ethereum
  • Blockchain
  • Regulations
  • Altcoin
  • DeFi
  • Web 3.0

© 2023 BTC NOON | All Rights Reserved

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?