Ethereum Experiences Unprecedented Selling Activity Over Three Months

Overview

Ethereum (ETH) has witnessed a staggering 43% drop this year, declining from a peak of $3,744 to its present value of approximately $1,899. Ki Young Ju, CEO of CryptoQuant, remarked that Ethereum has seen unprecedented levels of active selling over the prior three months, marking the highest selling activity recorded in five years.

Key Points

Data from Glassnode indicates that both long-term holders and large investors (‘whales’) have been disposing of their ether following this year’s price drops.
According to research from CoinDesk, the ETH/BTC ratio has plummeted to a five-year low, and the compound annual growth rate versus Bitcoin has turned negative.

Selling Pressure

Many short-term holders (those holding Ethereum for less than 155 days) are experiencing realized losses, with long-term holders beginning to follow suit.
The selling pressures have been significantly driven by whales possessing over 100,000 ETH, especially since February.

ETH: Net Taker Volume ETH: Net Taker Volume (CryptoQuant)

Conclusion

If purchased between June 2022 and October 2023, as well as during much of 2020, investors would be at a profit despite current market conditions.