OG Ethereum investors woke up a few days ago by completing the biggest move of long-dormant coins since early June.
However, the actual number of ETH that reached exchanges was negligible, which suggests that this unusual activity may reflect wallet reshuffling rather than holders rushing to cash out as the underlying asset continues to fight the $2,700 level.
Old ETH Woke Up
According to data shared by the analytics resource Santiment Intelligence, Ethereum’s Age Consumed metric surged to approximately 580 million token-days on September 30. This was roughly nine times its average weekday level during September and the highest reading since June 2.
Age Consumed measures the movement of coins based on how long they had previously remained dormant. This means that such a large spike indicates that significant quantities of older ETH were suddenly transferred.
While this might sound like old holders trying to take advantage of the recent rally that saw ETH surge from $1,500 to $2,700 and book some profits, Santiment reassured that this doesn’t seem to be the case. Exchange supply increased by only around 18,000 tokens on September 30 before declining by approximately 21,000 ETH a day later.
This relatively insignificant amount suggests that the immediate selling pressure didn’t spike, especially when compared to the roughly 5.9 million coins held on trading platforms.
In contrast, exchange balances soared by more than 140,000 ETH on June 2, when the Age Consumed metric last registered a massive increase.
Although Santiment cautioned that it’s impossible to determine who moved the latest batch of dormant ETH, the analysts said previous such moves have coincided with wallet reorganizations rather than outright selling.
ETH Still Constructive
Meanwhile, popular trader Merlijn The Trader highlighted what he considers a major shift in the ETH/BTC pair. He argued that the altcoin has broken the long-running downtrend that has weighed on it against the market leader for the past nearly ten years. The trader described the development as potentially marking the cycle in which ETH establishes itself as the market’s “blue chip.”
Fellow analyst Altcoin Sherpa added that the Ethereum setup still looks “pretty solid” and explained that the landscape is not as bearish as some others believe. However, he stressed that ETH’s outlook will remain heavily dependent on what BTC does next.
Interestingly, the sentiment around the largest altcoin recently dropped to its most bearish level since June 7, with Santiment recording only 0.89 bullish comments for every bearish one. However, similar occasions could have the opposite effect on the underlying asset, the analysts said.
Source: CryptoPotato
