Ethereum [ETH] With the latest developments on the network the investors are continuing to be divided. The 4th of July celebrations have activated the bulls in full swing in the crypto market. Bitcoin [BTC] has also rebounded above $20k – setting a reviving precedent for the crypto industry. But where does ETH go from here?
ETH to win
The festive greetings have been kind to Ethereum which saw a terrifying end to the second quarter. But recent on-chain data is leaving investors divided by the ambiguity surrounding it. While trader optimism remains high, ETH is still piling up on exchanges. ETH is trading at a 70% discount to its YTD performance.
Nonetheless, since July 4th, ETH has been following a price jump of 9.5%. It is currently trading at $1,155 after an 83% increase in volume on the network. according to one child TweetPrice movement is showing both sides of the coin right now. While rising prices indicate a correction in ETH, there is growing concern in exchange flows. Upon closer inspection, ETH has been piling up on exchanges and is trading at 2022 highs. This trend has continued higher in the latest bearish cycle.
Another update on the futures market on Bitfinex has shown a worrying trend. According to a tweet by Glassnode, ETH perpetual contract volume on Bitfinex has dropped to a one-month low of $9,887,684. Even though it is just a forum, yet it can be considered as a sign of a weak community.
Moreover, the MVRV ratio (30d) has seen an increase with the recent price changes. But it continues to be devalued despite standing at -8.75%. There is room for growth here for Ethereum.
Merge tasks that are gaining traction
The recent consensus call provided the latest insights into the Ethereum Foundation and how the merge is working. According to the meeting, the activation of the Sepolia merger is expected to be completed soon. Brief also claims that Ethereum has its eighth mainnet shadow fork to test an upcoming merge. Developer Marius van der Wijden updated on the smooth transition of Gray Glacier Hard Fork.