Leading analytics firm Santiment says that a key metric is flashing a bullish signal for Ethereum (ETH) amid a persistent crypto bear market.
According to Santiment, Ethereum is flashing signs for a big rally after a surge in address activity, an on-chain metric that tracks the number of distinct ETH addresses that participated in a transfer on any given day.
“Ethereum’s active addresses surged to its highest level in over six weeks yesterday, and that likely factored into today’s price growth. On October 15th, the last time addresses spiked at this level, the price of ETH jumped +30% over the next three weeks.”
Santiment also says the number of Ethereum whales and sharks, or entities holding between 100 to 100,000 ETH, are increasing since the high-profile implosion of FTX in early November.
“Ethereum’s large key addresses have been growing in number since the FTX debacle in early November. Pictured are the key moments where shark and whale addresses have accumulated and dumped. The number of 100 to 100,000 ETH addresses is at a 20-month high.”
At time of writing, Ethereum is changing hands at $1,288.
Santiment is also keeping a close eye on Bitcoin’s (BTC) social dominance, a metric that tracks the share of the king crypto’s discussions in digital asset media. According to the insights firm, BTC’s social dominance is currently below average, indicating that the recent strength in the broader crypto markets is likely unsustainable.
“Bitcoin’s social dominance remains low, as traders are seemingly disinterested in crypto’s number one while altcoins have had more movement these past couple weeks. One of the primary ingredients for ALL prices to surge is a high BTC social dominance. “
At time of writing, Bitcoin is swapping hands for $17,154.
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