Ethereum Hits $3,000 Price Milestone as Investors Secure $500M ETH in Long-Term Storage

Unlocking Ethereum's Potential: On-Chain Insights Drive Optimism for $3,000 Price Target

Ethereum (ETH) experiences a surge, hitting $1,950 with a bold attempt at the $2,000 resistance. Delving into on-chain analysis reveals key factors propelling ETH's recent price momentum.

Breaking the $1,900 resistance on November 9 marked a significant move for ETH, showing an almost 8% monthly gain. Despite this, on-chain activity among Ethereum holders indicates a collective focus on achieving more substantial profits.

Recent data from IntoTheBlock indicates a consistent negative trend in Ethereum's Exchange Net-flows over the past seven trading days. Notably, investors have transferred 263,520 ETH from exchange wallets to long-term storage between November 3 and November 9.

Exchange Netflows reflect the disparity between total outflows and new inflows into exchange wallets, with negative values suggesting a preference for self-custody over short-term trading. The continuous decline in exchange deposits on the ETH network this week implies a growing inclination among investors to HODL their ETH assets for the long term.

The substantial outflow of 263,520 ETH from exchanges, valued at approximately $505 million at the current price of $1,920, has significantly reduced the pool of coins available for immediate trading. This reduction has positively impacted Ethereum prices throughout the week.

In summary, the pivotal shift of ETH into long-term storage by holders this week has played a crucial role in Thursday's price bounce. If this trend persists and demand remains robust, Ethereum is poised to break through the $2,000 resistance in the days to come.

Ethereum's Potential Soars: $3,000 Emerges as the Next Price Milestone in Latest Forecast

"Key On-Chain Trends Propel Ethereum Towards $3,000 Target Amid Strong Investor Demand"

In recent developments, the strategic movement of $500M worth of ETH into long-term storage by holders has played a crucial role in the notable bounce in Ethereum's price. This on-chain trend, if sustained, has the potential to propel Ethereum beyond the $2,000 resistance in the upcoming days.

Technical analysis on the daily timeframe further supports this optimistic outlook. As of November 9, Ethereum is currently trading at $1,920, with the EMA-30 at $1,773 and SMA-20 at $1,729. The positioning of both EMA-30 and SMA-30 below the current price range indicates a prevalent short-term bullish sentiment.

While initial resistance is anticipated around $1,950, a decisive breakthrough could lead Ethereum towards the upper Bollinger band, paving the way for a potential surge to a new 2023 peak, approaching the $3,000 mark. Stay tuned for updates on Ethereum's exciting journey in the market! 

On the flip side, bearish pressure may debunk the optimistic forecast should ETH struggle to uphold the initial support at the $1,670 lower Bollinger band.

While this scenario seems improbable given the ongoing reduction in market supply, a more substantial downturn below the mentioned support level could pave the way for additional reversal towards the $1,500 mark.