Assets covered: Ethereum (ETH)

Metrics used: Exchange Inflow, Daily Active Deposits, Social Volume, Social Sentiment, Active Addresses, MVRV, Average Fees

This is an overview where we are now in terms of onchain and social data for Ethereum.

Exchange Inflow

Panic selling on May 28th spike, at the bottom. Then profit taking at 2.6K.

Overall a similar image to Bitcoin, we are seeing a decline in sell side pressure. Which is what we would expect.

Daily Active Deposits

Deposits are declining as well. We're still relatively high, compared to entire six months period, but every day we are seeing less and less addresses moving ETH to exchanges.

Social Volume

Social Sentiment

Active Addresses

ETH active addresses keep growing nicely. It's not looking bad. At least from perspective of social data and onchain data. Rebounded quite viscerally in the last 10 days. Much stronger than Bitcoin. And it continues to grow, which is good for ETH.

MVRV

36-day MVRV haven't dipped into negative at all. So there's a lot more profits to be taken by long term holders which is kind of scary. But when just examining this bull cycle, it's fairly low, lowest since November. At the very least it can allow for more price appreciation. Even compared to previous rally.

Fees

Fees lowest this year is another good sign for ETH. But why are they so low? Probably because less people swapping stuff on mainnet. Also there a growing amount of traction of Polygon. A lot of people have moved there. Huge amount have went to BSC.

Conclusion

Exchange Inflow and daily deposits are declining. It seems like the sell side pressure is diminishing more and more. MVRV still fairly low. Active addresses are growing. It could be a part of the reason why could the fees be so low. And that's also probably a good thing for Ethereum. Social sentiment is still negative, so there are sort of encouraging signs for Ethereum in the short term. Looking like network is going back to normal.

Disclaimer: The opinions expressed in the post are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product.