Mike Smith
4 days ago
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The Ethereum market continues to show high volatility, forcing investors to quickly adjust their positions. In February, the price of ETH first rose to $2,500 and then fell to $2,050, reflecting trends observed back in November last year. Glassnode analysts note that market participants are actively redistributing assets, using price fluctuations to reduce costs and optimize their strategies.
Data on the dynamics of the cost of investments shows that the average purchase price for a significant number of investors was previously $3,500. However, February's activity allowed them to recalculate their base value. Some players entered the market at $2,500, while others took advantage of the decline to $2,050, which led to a decrease in the average value of their holdings by about 10%. As a result, these market participants hold 1.75 million ETH with a recalculated price of about $3,200.
It is noteworthy that on March 1, an accumulation of about 500 thousand ETH was recorded at a price of $2,200. However, these assets were quickly sold during the subsequent growth to $2,500, which indicates high investor activity and their flexible approach to capital management. Market participants seek to benefit from short-term movements, adapting tactics depending on current conditions.
The key resistance level remains the $2,800 mark, where about 800 thousand ETH are concentrated. This threshold plays an important role in market dynamics, since this is where significant volumes are concentrated. If this threshold is overcome, increased interest from large participants and subsequent growth in quotes is possible. Many investors consider this area as a strategically important point for new entries.
The current situation demonstrates the confident behavior of both institutional and retail Ethereum holders. Investors are active, using every price movement to optimize their investments. Amid persistent volatility, the redistribution of capital continues, opening up opportunities for those who closely monitor market trends and are prepared to adapt to changing conditions.
