Peter Smith
Ethereum (ETH) is trading at $4,330 today, down just 0.9% despite a massive shift happening behind the scenes. After hitting $4,946 in late August, ETH has been hanging around $4,400 - but the real story isn't the price action, it's what's happening with supply.
ETH Holders Are Going Cold Storage Crazy
Here's where things get interesting. CryptoQuant's Arab Chain shows Ethereum's supply on Binance just took a nosedive. We're talking about a drop from 0.041 to below 0.037 in just two weeks - that's the biggest decline they've seen in the data.
But here's the kicker: ETH's price barely budged during this exodus. Usually when coins flood off exchanges, you'd expect some price movement. Not this time. People are yanking their ETH off Binance and storing it away, which screams long-term confidence.
When investors move coins into cold storage instead of keeping them ready to sell, it's like removing supply from the market. Less ETH available for trading means any buying pressure could send prices flying.
ETH Technical Setup Looking Spicy
The charts are telling their own story. Ethereum's Bollinger Bands are tightening up, which often happens right before a big move. The RSI is sitting pretty at 51 - not too hot, not too cold.
Sure, the MACD is showing some weakness, but the bigger picture looks solid. ETH has strong support at $4,240, and while the short-term moving averages (10 and 20-day) look a bit shaky, the longer ones (30, 50, 100, and 200-day) are all pointing up.
ETH Price Prediction: Where to Next?
If ETH can punch through the $4,480 resistance, we could see a run to $4,600 pretty quickly. That's the next logical target based on the technical setup.
But let's be real - crypto can be unpredictable. If things go south, $4,240 is the line in the sand. Break below that, and we might see ETH test $4,050.
With supply shrinking on exchanges and technical indicators setting up for a breakout, ETH looks primed for its next leg up. Just don't be surprised if it happens fast when it does.
Peter Smith
