Ethereum is choppy at the time of writing as bulls struggle to gain momentum and push the coin above immediate resistance levels around $2,400 and $2,800. Even so, most ETH holders are optimistic, expecting prices to rally and rise, even surpassing July highs of around $3,500.
61% of ETH holders are in the money
Amidst this development and the general calm, IntoTheBlock data show that 61% of all ETH holders are in the money. The fact that over 50% of all ETH holders are in the green, despite the coin being down nearly 35% from its July highs and nearly 45% from its 2024 highs, points to resilience, especially in the face of determined bears.
Technically, the resilience among ETH holders indicates a wave of optimism sweeping through its ecosystem. According to IntoTheBlock, this development means that at current levels, more ETH holders are making money than during bear market cycles. So profitability is likely to fall sharply.
For context, IntoTheBlock analysts note that during the 2019/2020 period, when prices fell, the percentage of profitable holders at any given point dropped to just 10%.
Furthermore, in the last bear market, the percentage of ETH holders making money fell to 46%. However, this was much higher than the 3% when ETH prices fell to just 3% at the height of the 2018 bear market.
Ethereum Holders Are Confident, Support Is at $2,290 and $2,360
ETH’s profitability percentage has evolved over the years, pointing to a mature market where holders are still confident about what lies ahead.
According to Dune dataThere are 128,804,395 ETH in circulating supply. Of this, the top 1,000 addresses control over 49.1 million or 38.15%. If IntoTheBlock’s data is anything to go by, most of these whales are in the green, making money. Consequently, they will not be incentivized to sell, increasing the pressure on ETH.
Taking a closer look at the network data, an analyst notes that ETH has critical support between $2,290 and $2,360. Nearly 1.9 million addresses have bought in this zone and currently hold approximately 52.3 million ETH.
Millions of ETH were bought at this level, meaning it is a critical loading zone. If broken, the analyst predicts steep losses that will see the coin fall below August lows to $1,800 in a bearish trend continuation formation.
Featured image by DALLE, chart by TradingView
