Ethereum (ETH) has witnessed one of the worst market corrections in its history during the past 8 months. The world’s second-most valuable crypto asset lost more than 80% of its value in the recent crypto winter. However, ETH has bounced back in the past few days. As a result, the overall profitable supply across the Ethereum network has jumped by approximately 7.8%.
Glassnode’s data shows that the profitable ETH supply touched 56% on Monday, which is the highest level since June 2022. The number is still down significantly compared to November 2021 when more than 90% of ETH supply was in profit.
“Over the last month, almost 7.8% of circulating supply of Ethereum has transacted on-chain and changed hands. The total ETH supply in profit has now increased to 56%, after hitting lows of 41% prior to the current price rally,” Glassnode mentioned.
Additionally, whale transactions across the ETH network are surging. On 19 July 2022, a crypto address moved 100,000 ETH worth over $150 million to an unknown wallet. The transaction was executed at 01:34 UTC.
Ethereum’s Price Action
In the recent market correction, ETH remained the worst performer among the top 5 digital assets. In addition to negative sentiment across the retail market, Ethereum saw a sharp dip in institutional interest. Year-to-date outflows from ETH investment products currently stand at around $446 million, compared to the inflows of almost $14 million in BTC investment products.
However, ETH has made a strong comeback in the last 7 days. The price has increased by almost 40% within the past week, which is the highest percentage gain among the top 10 digital currencies. On 19 July 2022, the crypto asset spiked above $1,500 for the first time since 12 June 2022. With a market cap of more than $184 billion, ETH is the second-largest cryptocurrency.
This article was written by Bilal Jafar at www.financemagnates.com.