Ethereum Falls Short of $1,600, On-Chain Metric Hit 2018 High

Glassnode’s automated alert service, Glassnode Alerts, has reported an increase in the number of Ethereum tokens. The service system reported that there was an increase in the number of Ethereum tokens that have not moved for 12 months and 24 months.

 Dormant Ethereum Rise

Glassnode’s data also said the number of dormant Ethereum tokens has gotten to a four-year high now. The platform shared information via its Twitter page on Monday with more details. The tweet said more than 35 million Ethereum tokens were moved between different wallets.

The activities took place about a year ago for some while it was two years ago for others. And each of those tokens has been dormant at their respective destinations since then.

 Glassnode said it has been a long time since it recorded such a number of Ethereum in that category of being dormant. The on-chain monitoring platform has put the last time it had the record as October 2018. For proper context, the Ethereum movement happened when the token sold at $230.

 This development can be interpreted in a positive way from investors’ view. It could mean that long-term investors have so much confidence. Made more prominent by the current bear market. 

It should be noted that the Ethereum market supply is currently increasing. Therefore, the dormant Ethereum value in 2018 was higher and had more shares than now.

 Highest Point in a While

But while all that went on, Ethereum’s price has ejected from $1,660 two times within 24 hours. The asset’s price rose to the highest point it would see in the last 7 weeks. It registered a local top of more than $1,660 on top crypto spot exchanges.

 The general crypto market capitalization has recovered over the $1 trillion mark. Ethereum also has a significant share of the wider increase but that’s not that responsible for its price increase. The asset price also shot up as a result of its Merge being completed at the end of September.

 The Ethereum Merge was the migration of the blockchain from the proof-of-work protocol to the proof-of-stake. The Merge promises better network scalability and improved security among other solutions.

 Importantly, miners are no longer needed on the Ethereum chain as the token will not be gotten by mining any long. Rather, the network now uses validators to validate new blocks.