Ethereum has seen a significant surge in outflows, reaching $1.8 billion, the highest since December 2022, suggesting holders may perceive current prices as a strategic buying opportunity amidst ongoing pessimism. The price of Ether has declined by 51% over the last 83 days, with losses averaging around 0.61% daily. The MVRV (market value to realized value) ratio has dropped to 0.8, indicating potential undervaluation—a situation resembling past moments where a local bottom occurred around $1,600. Currently consolidating near $2,000, analysis highlights a bullish reversal signal. However, Ether’s price has closed below its 200-day EMA for the first time since October 2023. Historically, being under this trendline has precedented rebound opportunities, adding urgency to reclaim this level to confirm a bottom. In summary, while there are signs of recovery, Ethereum must navigate these critical price levels to stabilize and signal a reversal in its downward trend.

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