The price of Ethereum (ETH) has seen a significant increase in the past 24 hours, reaching $3,350. This surge in price has coincided with a notable decrease in daily whale transactions involving at least $100,000 worth of ETH.
Data from Santiment shows that the number of whale transactions has dropped by 56%, from 11,115 to 4,827 unique transactions per day. This decline in whale activity indicates that the recent price surge of ETH is likely driven by small investors rather than large whales manipulating the market.
Despite the decrease in whale transactions, Ethereum’s market cap currently stands at $400 billion with a daily trading volume of $12.7 billion. This suggests that there is still a strong level of interest and activity in the Ethereum market, even with the reduced involvement of whales.
In addition to the decrease in whale transactions, the total open interest in Ethereum has been steadily increasing over the past week, rising from $6.04 billion on July 8 to $6.97 billion. This heightened open interest can lead to increased price volatility, as seen in the recent liquidations totaling $24 million, with $5 million in long positions and nearly $19 million in short positions.
Furthermore, the Ethereum Relative Strength Index (RSI) has been on the rise since July 7 and is currently at the 50 mark. This indicates that Ethereum is in a favorable position for a potential price surge in the near future.
Overall, the recent surge in Ethereum’s price, coupled with the decrease in whale transactions and the rise in open interest and RSI, suggests that the cryptocurrency market is experiencing increased activity and potential for further price movements. Investors and traders should continue to monitor these indicators to make informed decisions about their Ethereum holdings.