Ethereum’s Price Surge Triggers Sell-off of Dormant Coins
Ethereum’s price breaching $2,579 resistance level triggered a wave of older, less active coins to start changing hands. Many of these coins appear to be making their way to cryptocurrency exchanges, as evidenced by a sharp increase in ETH’s netflow onto these platforms. This may put downward pressure on the altcoin’s price, putting it at risk of shedding its recent gains.
Broader market sentiment has shifted from neutral to greed as trading activity begins to gain momentum. Over the past 24 hours, Ethereum’s price has jumped 4%. This price rally has prompted many dormant coin holders to become active, as evidenced by the spike in ETH’s age consumed. Santiment’s data shows that this metric, which tracks the movement of long-held coins, skyrocketed by over 400% on Monday, reaching 66.42 million—its highest since October 4.
