The chain data on Ethereum points toward the fact that the open interest of Debit Ethereum options currently stands at the value of $5.6 Billion. This value directly exceeds the value of Bitcoin which was pegged at the notional value of $4.3 billion.
Open interest in Ethereum
The bullish momentum on the Ethereum blockchain has recently started showing signs of slowing down. This has directly caused investing to raise questions regarding the previous support levels. Before proceeding further Ethereum is supposed to check its prior resistance levels at $1700.
The glaring difference in the open interest levels of both the cryptocurrencies point toward the fact that the asset capitalization around each of the cryptocurrencies has widespread differences.
However, the original test around the open interest is directly concentrated on September 30 and December 30. These two dates are a part of the post- Merge schedule. The Merge which is supposed to be finalized on September 9 will be fully finalized on the following dates when there will be a complete migration of the digital currency from a Proof of Work consensus to a Proof of stake consensus. The majority of players in the market are positioning themselves in such a manner that they derive lucrative gains from this potential upside shortly.
Technical analysis of Ethereum price
Analysts are predicting selling pressure shortly. The data on the blockchain points towards chances of volatility movements shortly. Various data point toward the basic fact that the price of Ethereum could fall around at any moment. The 100-day moving average (DMA) directly predicts that the selling price could be triggered due to the upside shown by Ethereum in the past few days.
Although the market is going through a price decline the selling orders for Ethereum have maintained themselves at around $13 million. It directly suggests that the resistance level of $1700 will continue to hold itself
Disclaimer: The opinions expressed in the Blog 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. It is only intended to provide education about the financial industry. Please do your own research.
Author - Govind R.