Network data suggests that this signal that historically occurred around Ethereum peaks has not yet appeared in the current cycle.
Ethereum Foundation wallets have not made large outflows this cycle so far
In a new publish on X, market intelligence platform IntoTheBlock discussed a pattern that Ethereum has witnessed along with its previous market peaks.
The pattern in question is related to the network flows for portfolios associated with the Ethereum Foundation. The ETH Foundation is a non-profit entity that supports cryptocurrency and its ecosystem.
Below is the chart shared by the analytics company that shows the trend of the net value of ETH (in US dollars) entering or leaving wallets connected to this organization.
As visible in the graph above, Ethereum Foundation netflows have generally assumed negative values during the past bull markets. Negative net flows naturally correlate to a net amount of ETH movement from wallets connected to the company.
Interestingly, the indicator saw especially large red spikes around the cryptocurrency’s tops. As IntoTheBlock explains,
Historically, during each bull market, the Foundation has strategically sold substantial amounts, often aligning these sales almost perfectly with market peaks.
The chart shows that the indicator’s value has been more or less neutral during the last few months, although the asset’s price has increased significantly.
This suggests that the Ethereum Foundation has not been making major sales during this bull market. Given the historical pattern, this could be a sign that a top for the cryptocurrency has not yet arrived, or at least the organization does not believe it to be so.
Another explanation, however, could be that the non-profit entity has changed its strategy for this new cycle, which means that the past trend would no longer have the same weight.
In some other news, the Ethereum Foundation’s official email was recently compromised, as Tim Beiko, one of the ETH developers, revealed in a publish.
The developer noted that the organization was trying to contact SendPulse, an email automation service used by the company, to resolve the issue.
In a follow-up publishBeiko confirmed that the team sent an update to Ethereum Foundation blog subscribers, alerting them that the previous email announcing a “staking platform” from the organization resulted from the compromise.
“We should have blocked all external access, but we are still confirming,” the developer said in the post.
Ethereum Price
Ethereum fell below the $3,300 level yesterday, but the asset has since recovered above $3,400.