Recently published on-chain data shows reason why Ethereum price has jumped back above $1,330
Santiment on-chain data aggregator has commented on the Bitcoin and Ethereum price jumps on Dec. 13; both leading cryptocurrencies returned to their highs for the first time since FTX announced its insolvency in early November.
That event was a major bearish driver, pushing Bitcoin and the whole cryptocurrency market way down.
Ethereum back to $1,330 first time in month
According to the analytics team of Santiment, the second largest crypto by market cap value, Ethereum, has managed to recapture the high of $1,335 for the first time since early November.
Also, Ethereum’s utility has soared to the highest level since May 2021. Santiment says that this is good since since the surge in the activity of ETH wallets in this case is likely not caused by regular profit-taking opportunities on the market.
📈 Utility for #Ethereum has risen to its highest level since May, 2021 this week. $ETH has jumped back over $1,335 for the first time in 5 weeks. It’s a good sign that this spike in address activity is not coinciding with a normal profit take opportunity. https://t.co/3uPtQLLviF pic.twitter.com/qX8OTRcytN
— Santiment (@santimentfeed) December 13, 2022
BTC and ETH: “Traders got excited to buy”
Santiment also shared a chart, showing that after the total social volume surged for the two largest cryptos, Bitcoin and Ethereum, prices reversed there and reached a five-week high each.
The euphoria that reared its head, while fear stayed low, created a “FOMO top signal” (FOMO means “fear of missing out”).
In order to push prices higher, Santiment said in a tweet, traders’ enthusiasm (and the bars showing it on the chart) must stay high, with fear remaining low.
🥳 #Crypto enjoyed a nice resurgence Tuesday, as both #Bitcoin and #Ethereum jumped to their highest levels since #FTX collapse news was hitting markets. We want to see euphoric blue bars stay low, & fearful red bars to spike, for prices to climb further. https://t.co/pRY8Pwrzls pic.twitter.com/5PcrMrAfZQ
— Santiment (@santimentfeed) December 13, 2022
At the time of this writing, Bitcoin is changing hands at $17,825 after briefly reaching $18,000 earlier today on the CPI report of inflation rising 7.1% instead of the 7.3% expected by analysts. Ethereum is going for $1,323.
Source: https://u.today/heres-what-pushed-eth-back-to-highest-level-in-5-weeks-santiment