Analysis: ETH On-chain Data is Lackluster, Yet Prices Rise Against the Trend; Is the $2500 Key Support Level Unbreakable?
On July 9, according to Matrixport's analysis, despite Ethereum's on-chain activity remaining low and Gas fees not showing significant recovery, the price of Ethereum is still steadily rising. Analysts have provided several key viewpoints explaining the reasons for this phenomenon!
Matrixport's analysis suggests that this trend is primarily driven by several factors; first, some institutions have included ETH in their reserve assets, reinforcing its positioning as a premium digital asset; secondly, the issuance of stablecoins has injected liquidity into the ETH on-chain ecosystem; additionally, the advancement of the U.S. 'GENIUS Act' brings medium to long-term policy benefits for Ethereum. Furthermore, seasonal strength and market expectations resonate to further support the price structure.
Therefore, Matrixport believes that although the current market trend is positive, bullish holders should closely monitor the $2500 level, which analysts view as a critical technical support level.
According to analysis data provided by Glassnode yesterday, the cost basis for over 34,500 ETH is between $2513 and $2536, further solidifying the view of $2500 as a key support area.
This means that if the price drops below this level, it could trigger more selling pressure. Conversely, if the price can remain above this level, it may attract more buying interest, thereby providing support for its price.
Additionally, according to Coingecko data, Ethereum's current price is at $2625, having risen by 2.8% in the past 24 hours, and an increase of 7.4% over the past 7 days. This price performance exceeds the $2500 key support level analyzed by Matrixport and Glassnode, seemingly indicating strong short-term market demand for Ethereum and solid investor confidence.
Finally, what factors do you think have the greatest impact on ETH prices? Is the $2500 key support level strong enough? Leave your thoughts and analysis in the comments section!
