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3 Factors Why Ethereum Is “Holding Up Well”: Santiment Report

source-logo  u.today 26 August 2021 14:02, UTC

On-chain analytics company Santiment has tweeted that Ethereum is among the few crypto assets which were hit with a minimal damage in the market dip in the past eight hours.

The tweet mentioned three factors that indicate what Ethereum is holding up pretty strong and is not going deep to the South.

📊 #Ethereum is one of the few minimally impacted assets during this market-wide dip over the past 8 hours. Still above $3,100, read about $ETH's token circulation, mean dollar invested age, & sentiment to indicate why the asset is holding up well. https://t.co/mfUQjlid2z pic.twitter.com/IxltCmfGTa

— Santiment (@santimentfeed) August 26, 2021

Three important factors to watch about Ethereum

The report that was also shared in the tweet mentions three factors important for the second largest cryptocurrency in the blockchain world.

The token circulation has reached a two-month high and surpassed that level. The weighed social sentiment has been holding up well so far with the crypto Twitter being euphoric about ETH reclaiming the $3,300 price level.

However, on the chart provided by Santiment, the curve of this index has already started breaching into the negative area. Should it go further down, ETH price may follow it, the report says.

The third factor is the mean dollar invested age. On the chart, it is clearly visible that ETH price and this index have been moving in different directions. When the Ether price rises, the index drops. It was dropping as ETH was moving towards the all-time high above the $4,300 level that was reached in May.

At the moment, the mean dollar invested age has started dropping gradually – it’s been declining over the past three days.

It shows that dormant USD invested in quiet Ethereum addresses are now starting to get on the move again.

u.today