- Ethereum’s realized market cap reached an all-time high, according to Glassnode.
- A report from crypto exchange Kraken detected ETH outflow from exhcanges.
YEREVAN (CoinChapter.com) — Ether (ETH), the native token of the largest smart contract platform, Ethereum, rebounded from $4,000 late last week despite a market-wide selloff in the wake of the Omicron FUD. That helped its realized market capitalization climb to a new record high of almost $218 billion entering the new weekly session, data on Glassnode showed.
Bullish ETH sentiment returns
Realized capitalizations track the valuation of an asset based on its unspent transaction output (UTXO), i.e. the price at which users moved it. As a result, the metric allows users to remove unnecessary granularities, especially lost or dormant coins, which helps them determine the asset’s market valuation based on actual units in circulation.
According to on-chain analytical platform Glassnode, Ethereum’s realized cap has been ascending sharply since early 2021. It peaked at $217.9 billion, while the market cap stood at $512.6 billion.
Nonetheless, the growth in Ether’s realized cap had little impact on its prices against the U.S. dollar. In detail, the ETH price consolidated sideways in the same 30-day period, holding $4,000 as support, while rising 8% from its Nov 26 opening rate. As of Monday, the Ethereum token stood at $4,320.
Moreover, ETH closely approached its 20-day exponential moving average (EMA-20; blue wave on the chart below) and could source additional support from EMA-20 in the upcoming sessions. The largest altcoin also charted above a significant trendline that was instrumental since July 2021.
As CoinChapter covered in the previous Ethereum report, the trendline could boost ETH to new records by the end of 2021. The token has yet to rebound from the support with any confidence. However, the upcoming sessions will show if the bullish prediction has merit.
Ethereum trading is at a month-low
Ethereum transactions have reached a month-low. As the price action has been indecisive during the previous weeks, the traders seem to hold back on ETH trading until the market climate adopts a particular bias.
Additionally, a report published by crypto exchange Kraken in November highlighted a persistent Ether outflow from exchanges. That signified the traders’ inclination to hold their Ethereum rather than exchange it for other crypto or fiat currencies.
Because net outflows were over +630% more than when hitting record levels in late April, there was potentially more bullish conviction and demand for ETH in the latest push to a new all-time high than the prior record set roughly 6 months ago. Moreover, continued outflows in the face of this macro uptrend indicate that market participants are perhaps more confident in ETH’s forward prospects.read the report.
Given the bullish realized market cap and metrics from the Kraken report, the recent ETH consolidation could result in a new leg up for the alpha altcoin. Additionally, technical indicators point to a possibility of an upcoming push from Ethereum bulls.