Ethereum (ETH) is currently experiencing a surge in supply on exchanges, reaching its highest levels in over 34 months as the asset’s price surpasses $3,500. With a 2.3% increase in the past 24 hours, Ethereum is trading at $3,490 and briefly touched an intraday high of $3,517 earlier today. The second-largest cryptocurrency now boasts a market cap of $419 billion, further solidifying its position in the crypto market.
Data from Santiment shows that Ethereum’s daily trading volume has also seen a significant uptick, increasing by 7.6% to reach $19.8 billion. Additionally, the supply of Ethereum on exchanges has surged to 19.52 million ETH, a level last seen in September 2021. This increase in supply on exchanges can be attributed to small deposits rather than large whale transactions, as the number of whale transactions has decreased by 12% over the past day.
Despite the rise in supply on exchanges, the Ethereum Relative Strength Index (RSI) is currently hovering around the 60 mark, indicating that the asset is slightly overbought at its current price point. However, given Ethereum’s large market capitalization, it may not be in a critical position. One of the key factors driving the surge in Ethereum’s price is the anticipation of spot ETH ETFs in the U.S., which are set to begin trading on July 23.
With the influx of supply on exchanges and the growing interest in Ethereum, investors and traders are closely monitoring the market for potential opportunities. As Ethereum continues to demonstrate resilience and growth, it remains a top contender in the cryptocurrency space. The rise in trading volume, coupled with the upcoming introduction of ETH ETFs, suggests that Ethereum’s momentum is likely to continue in the near future.
In conclusion, Ethereum’s supply on exchanges has reached a 34-month high, signaling increased activity and interest in the cryptocurrency. Despite being slightly overbought according to the RSI, Ethereum’s strong market capitalization and the anticipation of ETH ETFs in the U.S. are driving its price surge. As the second-largest cryptocurrency continues to gain traction, it is poised for further growth and development in the crypto market. Investors and traders are advised to keep a close eye on Ethereum’s performance and market trends for potential opportunities in the coming days.
