According to IntoTheBlock, a significant number of Ethereum cryptocurrency holders are currently at a loss. At the same time, many technical indicators signal that investors of the main altcoin will soon be able to take profits, as the ETH token can continue to grow.
Ethereum investors at a loss
IntoTheBlock recently analyzed the profitability of addresses on the Ethereum blockchain using the “In / Out of the Money” indicator.
The analysis results are depressing: of all the addresses where ETH coins are currently stored, only 3.28% are “profitable”. In other words, if their owner sells their assets at current prices, they will fix the profit from the purchase of cryptocurrency.
Ethereum Profit / Loss Ratio
The total number of profitable addresses is less than 1.20 million. They store more than 20 million ETH, which were purchased at very low prices. According to IntoTheBlock, only 18.3% of ETH of the total circulation in the coin market are profitable for their owners:
Ethereum profit / loss ratio
Analysts at the company claim that the current percentage of profitable addresses is a record low of 2020:
The percentage of addresses that would become profitable in the event of the sale of ETH assets is 89% lower than the average since the beginning of the year (30.47%).
Although most investments in ETH are unprofitable, the situation may soon change as a bullish momentum forms in the altcoin market.
Bullish momentum in ETH market may increase
Yesterday, crypto analyst Ali Martinez noted an important breakthrough of the asset on the 1-hour chart. Over the past week, Ethereum traded within a symmetrical triangle pattern that represented a consolidation period. Yesterday's breakthrough may be the beginning of a new uptrend.
In this case, the target breakout level, according to the theory of technical analysis, is 40% above the breakdown point. Thus, the main altcoin can go up to $ 169.
Reaching the target would make another 7.32 million addresses and more than 34 million coins profitable.
