Ethereum Reclaims $2,300 Short-Term Holder Cost Basis, but Structure Still Points to Relief Rally
Summary
- Glassnode said Ethereum has reclaimed the average purchase price of $2,300 for short-term holders.
- It said the current market structure is closer to a relief rally within a bear market, similar to the third and fourth quarters of 2022.
- It added that despite entering a short-term profit zone, the move is difficult to view as a broader trend reversal.
Forecast Trend Report by Period
Ethereum has climbed back above the average purchase price of short-term holders, but the market structure still appears to reflect a relief rally rather than a broader reversal.
Glassnode, the on-chain analytics firm, wrote on X on April 14 that Ethereum had reclaimed $2,300, the average cost basis for holders who have held the token for one to three months, amid the recent advance.
Still, Glassnode said the current structure more closely resembles a bear-market rally similar to the rebound seen in the third and fourth quarters of 2022. It added that the move is difficult to view as the start of a sustained uptrend.
The metric refers to the average entry price of short-term investors. When Ethereum trades above that level, those holders are generally seen as having entered a short-term profit zone. When it falls below the threshold, they are considered to be back in loss territory.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
