According to the latest data from Glassnode Alerts, the number of addresses receiving from exchanges just reached a 3-month high of 2,059.357 for Ethereum (ETH). The previous 3-month high of 2,058.631 was observed on Dec. 20, 2022; since that date, Ethereum has advanced more than 40%, but potential investors should consider that this is not a rule that can be applied every time. Some of the biggest whales in existence are moving millions of dollars worth of Ethereum from exchanges, and this could be connected with a fear that the current banking crisis may cause a domino effect that could negatively influence major cryptocurrency exchanges.
Edward Moya, the analyst at OANDA, said that recent developments around Silvergate Bank bring risks of further negative effects in the industry. Many crypto firms could experience liquidity problems, and as they look to pay back creditors, they may liquidate their crypto assets, which could trigger another sell-off in the crypto market.
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On the other side, market data shows the number of destroyed Ethereum (ETH) coins has reached a staggering 66,000 ETH in the first three months of 2023, worth approximately $118 million at the current price of $1,992 per coin. With the present burn rate, an estimated 614,000 Ethereum will be removed from circulation annually, significantly reducing the overall supply. This could play a crucial role in the future and potentially drive the price of Ethereum higher.
Technical Analysis Of Ethereum (ETH)
Ethereum has advanced from $1,369 to $1,846 since Mar. 10, and the current price stands at $1,792. The price continues to stay above the 10-day moving average, indicating that the positive trend is still not over.
If sellers cannot restore the rate shortly, there are high chances to see a further advance to the resistance level at $1,900, and if the price breaks this level, we would probably see Ethereum at $2,000. The important support level for Ethereum stands at $1,600, and if the price falls below this level, the next target could be $1,500 or even below.
