A top crypto market analytics firm, Santiment, has revealed some bullish on-chain readings for Ethereum (ETH) as the leading altcoin experiences a bounce in its price. One key observation is that ETH’s supply on crypto exchanges, as a percentage of its total supply, has reached an all-time low. This suggests that the selling pressure on Ethereum may be limited as market participants move their ETH holdings away from the open market.
Another positive indicator highlighted by Santiment is the attractive average transaction fees for ETH. These fees have fallen to levels last seen in March, just before Ethereum’s price surge towards its 2023 highs. This indicates that the cost of transactions on the Ethereum network has decreased, making it more appealing for users.
Despite failing to sustain the $1,900 level, ETH is currently trading at around $1,880, a significant increase of nearly 15% from its June low of $1,637. This bounce in price, coupled with the low supply on exchanges and attractive transaction fees, suggests a positive outlook for Ethereum in the near term.
In addition to Ethereum, Santiment also analyzes the performance of Bitcoin hard fork Bitcoin Cash (BCH). According to the firm, BCH has been trending on social media after receiving support from the digital asset marketplace EDX Markets. Traders are closely following EDX Markets due to its recent funding round from financial heavyweights such as Charles Schwab, Citadel Securities, Fidelity Digital Assets, Paradigm, Sequoia Capital, and Virtu Financial.
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Since the launch of EDX Markets on June 20th, Bitcoin Cash has seen a massive price gain of 79% in just four days. The altcoin has also experienced a three-year high in social discussion rates, and its trading volume has surpassed the levels seen in 2023. At the time of writing, BCH is valued at $213.47, marking a significant increase of nearly 120% from its June low of $97.87.
These positive developments for both Ethereum and Bitcoin Cash indicate a growing interest and support for these cryptocurrencies. Market participants are closely monitoring the impact of EDX Markets and the involvement of prominent financial institutions in the cryptocurrency space.
In conclusion, Santiment’s analysis reveals optimistic signs for Ethereum and Bitcoin Cash. The low supply of ETH on exchanges and attractive transaction fees suggest limited selling pressure and increased user activity on the Ethereum network. Meanwhile, Bitcoin Cash’s association with EDX Markets and the support from major financial institutions have propelled its price and social engagement to new heights. As the crypto market continues to evolve, these on-chain readings provide valuable insights for investors and traders.
