2 key metrics indicate change

The price of Ether has struggled to break above $2,750 this month. In the last 30 days alone, Ether has lost over 24% of its value.

However, recent analysis suggests that the world’s largest altcoin may be in the final stages of its current market correction. This narrative is supported by two key chain metrics that provide insight.

Buyers are slowly regaining control in the ETH market

According to CryptoQuant, Taker’s buy-to-sell ratio, which measures the ratio of buyers to sellers across all exchanges, has turned positive again, indicating a subtle but promising resurgence in buyer strength. Therefore, this rally could signal the start of a recovery, although it remains cautious.

Meanwhile, Open Interest (OI), which represents the total of all open positions, has seen a significant drop since its peak in June 2024, when the price of Ethereum reached $3,800. OI hit an all-time high of over $13 billion before the correction, and fell to $7 billion after a major macroeconomic event in early August.

For a significant upward price movement, leveraged traders will need to re-enter the market based on the findings of the chain analytics platform.

“Current data shows that Ether buyers are gradually regaining strength. However, time will tell if this is a temporary bounce or the start of a strong bull-led rally.”

Drop in ETH exchange balances

Popular market researcher Leon Waidmann has noted an important milestone in the Ethereum market: for the first time, the balance of Ether on exchanges has fallen below 10%. This decrease means that there is now much less ETH available on trading platforms than BTC.

This reduction in Ethereum on the exchange indicates a change in investor behavior, with more holders moving their assets off trading platforms.

As demand for ETH inevitably increases, reduced supply on exchanges could lead to a sharp increase in its price, indicating potential bullish momentum in the market, Waidmann said in his latest update on X.

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