2024-07-20 05:51:16
- ETH is still stuck below its short moving average.
- However, the price trend showed that the bulls were active in the market.
In the last few days, Ethereum [ETH] There is a set of uptrends to overcome, and any decline observed was too small to significantly affect its overall upward trajectory.
As the price of ETH continues to rise, traders are becoming more optimistic and showing more aggressiveness in their market positions.
Ethereum sends strong signals
Recent analysis of Taker’s buy-sell ratio for Ethereum in Cryptoquant
showed significant activity. This ratio has seen significant spikes above the value of 1 in recent weeks, indicating changes in market dynamics.
A bid-ask ratio of buyers above 1 is a strong indicator of aggressive buying by the bulls. It suggests that buyers are taking the initiative in executing market orders, which tends to drive prices higher.
The recent spikes in this ratio coincided with periods when the price of ETH began to rise, indicating increased buying pressure.
Source: CryptoQuant
As of this writing, Taker’s bid-ask ratio has fallen slightly below 1. This could suggest a temporary reduction in buying pressure or an increase in selling activity.
However, if the bullish trend in the Taker Buy Sell Ratio resumes, CryptoQuant suggests that it could confirm a possible medium-term bullish trend for Ethereum.
This would likely lead to further price increases as the bullish sentiment in the market sustains and increases.
Ethereum open interest taking shape
AMBCrypto’s analysis of the open interest of Ethereum in A convention showed a significant rebound in the last few days. As of July 9, open interest increased from about $12 billion to over $14.2 billion.
In addition, Ethereum’s funding rate has increased sharply.
An increase in the funding rate generally indicates that long positions are paying premiums over short positions, suggesting a bullish outlook among traders with long positions.
These developments (increasing open interest and higher funding rate) indicate increased market activity and increased cash inflows from buyers.
This was aligned with other bullish indicators such as the Buy Sell Builder Ratio, painting a picture of a strong bullish trend for Ethereum.
ETH Bullish Increasing Trend
At the end of this issue, Ethereum trading at around $3,436, representing an increase of less than 1%.
This subtle rise followed a more significant increase of over 1% in the previous trading session, which lifted its price to around $3,425.
Source: TradingView
AMBCrypto’s analysis of Ethereum’s moving average convergence-convergence (MACD) gave more insight into its market behavior. At the time of writing, ETH’s MACD was trending above zero, which generally indicates an uptrend.
However, the indicator lines are located slightly below zero, which suggests that although there is indeed an upswing, it has not yet achieved strong momentum.
This is an automatic translation of our English version.
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