The majority of addresses holding Ethereum (ETH) are now in profit, offering a positive outlook for the future of the asset amid a potential surge to $2,500.
According to the “In/Out of the Money” metric from the crypto analytics platform IntoTheBlock (ITB), these profitable holders account for 75% of wallets with Ethereum on the network.
Is Ethereum getting ready for new highs?
The In/Out of the money situation shows 75% of holders in profit with no serious resistance zones until it moves above $2500.
Does this mean it's a clean run to a new ATH? Not necessarily. Historically, profit-taking at these levels is… pic.twitter.com/gZbr7ByR0W
— IntoTheBlock (@intotheblock) November 10, 2023
For context, the data shows 77.72 million addresses are in profit, leaving 21.91 million holders at a loss. In addition, the traders marked by the grey ball in the ITB post are at a break-even point, and there are 3.98 million addresses in this zone.
ETH Profitability: What to Expect
Presenting the result on X, IntoTheBlock shows there’s no major resistance ahead for the Ethereum price until it reaches the $2,500 level.
This impressive outlook is currently driving a bullish optimism for Ethereum’s price. Despite the promises presented by this metric, the data analytics provider issued a note of caution to traders who might expect a full ride toward a new All-Time High (ATH).
ITB acknowledged that Ethereum traders historically take profits now that the majority are in profit. This trend, if it repeats itself, might fuel some pullbacks, but ITB expects this will not impact Ethereum’s longer-term prospects.
Another interesting perspective on Ethereum’s prospects emerged from top market analyst Ali Martinez. Drawing on the coin’s latest run above the psychologically important level at $2,000, Martinez highlighted how intriguing this milestone is, seeing whales have not started accumulating the coin.
#Ethereum has reclaimed the $2,000 threshold, and intriguingly, this is all happening before whales have even started buying $ETH! pic.twitter.com/wrgESGXoU6
— Ali (@ali_charts) November 10, 2023
The Ethereum ETF Intrigue
Though Ethereum’s YTD growth of 73% trails behind that of Bitcoin (BTC) at 123%, it remains a high performer. While retail holders can take accolades for the current rally, the prospect of a potential Ethereum spot ETF complements the growing optimism.
In a not-so-shocking twist, prominent asset manager BlackRock applied to list its iShares Ethereum Trust, a move welcomed with many expectations. The possibility the market might get this product through BlackRock and other applicants like Grayscale underscores the push to create a regulated pathway for corporate or institutional investors to gain exposure to Ethereum.
If achieved, the long-term prospects of Ethereum look bright, as inferred by IntoTheBlock and other market experts. Ethereum is trading for $2,087, up 2.86% over the past 24 hours and a whopping 33% over the past seven days.