Deposits in ETH 2.0 reached an all-time high on 30 June. This comes after the largest altcoin took a hit in light of the 3AC liquidation. As ETH hovers near the make-or-break level, investors question where will Ethereum [ETH] go from here?
No break here
Ethereum just had one of the hottest months since its inception. Still fresh from the scars of Terra, he had to suffer the consequences of the crash of 3AC in June. As the fate of the coin continues to lean into the abyss, the anticipated meltdown gives hope to investors.
That being said, as per reports from Glassnode, the total value in the ETH 2.0 deposits reached an all-time high of 12,976,933 ETH. As we edge closer to the Merge, investors are increasing and are continuing to deposit their holdings in the staking contracts.
What happens to ETH now?
Despite growing interest in ETH 2.0 staking, native ETH continues to struggle in the face of market volatility. ETH has fallen 5.25% since June 29. And, it was struggling to hold the $1,100 level, at press time – it was trading at $1,063, ETH’s latest drop comes after news of 3AC’s insolvency.
Amidst the dip, accumulation has been triggered on all fours during the June crash. Furthermore, as per data from Santiment, Ethereum shark and whale addresses have added 1.1% to their bags since 7 June.
During this period, the price of ETH has fallen by 39%, which represents a huge opportunity for investors to “buy the dip”. Historical evidence indicates that this group of levels has alpha on future price movement.
Additionally, upon observing the behavior of the metrics, we can get an idea about investors’ movement. The volume on the Ethereum network has diminished recently.
The aforementioned whale movement was also at its peak in mid-June and has slowed in recent days. Ethereum’s social dominance also surfed to a low point in June. This metric hit the monthly high at the height of the 3AC/Celsius crash on June 14th. But, more recently, online discussions about Ethereum have drastically decreased.
ETH 2.0 may hit a home run with its accumulation gaining speed. But a dipping price and falling metrics are creating a strange situation for Ethereum right now. So where does Ethereum go from here? We would need to be patient and watch the market.
