Cryptocurrency market intelligence platform Santiment is revealing bullish prospects for the second-largest crypto asset by value.
In a new blog post, Santiment says that the Market Value to Realized Value (MVRV) metric of Ethereum (ETH) over the past seven days (7D) shows that ETH is near the “opportunity zone” where typically the price bottoms out.
The MVRV is used to show the average profit or loss of all coins in circulation at the prevailing price and is calculated as market capitalization over the acquisition costs of the assets in a wallet.
“ETH’s MVRV 7D which measures the short-term profit/loss of holders is showing that we are almost into the opportunity zone, which historically saw a local bottom being developed.”
Source: SantimentThe crypto market intelligence platform also says that the supply of Ethereum on exchanges is on a downward trend.
“ETH’s supply on exchanges continues to fall since mid-March, regardless of the rally. This may indicate that certain market participants with sizable amounts of ETH are not looking to sell anytime soon.”
Source: SantimentSantiment also says that if the level of Ethereum gas fees is anything to go by, then ETH is nowhere near a price top.
“Previous major tops have seen average gas fees skyrocket as the crowd piled
