Ethereum has hit the $1,250 mark, and investors are wondering if ETH can finish 2022 even higher. In the last month, the group of whales with the highest price correlation between 100,000 and 1,000,000 tokens fell by more than 2 million ETH. Analyst Michael van de Poppe highlighted the importance of the $1,350 mark to ETH’s price trajectory.
Ethereum (ETH) prices have been making some headway to establish above the key $1,300 support/resistance level. However, the bulls still have a few hurdles to clear before ETH prices rise further.
November 23 marked an increase in ETH prices as the larger cryptocurrency market gained momentum. Over the past two weeks, Ethereum prices have surged nearly 15% from the low $1,000 level.
Now that Ethereum is firmly entrenched above the $1,250 mark, investors are wondering if it can finish 2022 even higher. Here are some on-chain observations that point to the short-term performance of ETH.
ETH price action meets resistance
The Ethereum bulls have done a very good job of lifting the price to the higher $1,250 level. While the $1,000 to $1,250 price range has performed well, the $1,300 resistance level has been disruptive for the token.
ETH is seeing considerable resistance at the $1,300 mark as the price action appears to be flat. One positive sign is that the RSI has remained above the 50 mark, indicating slight dominance by buyers.
However, a look at ETH trading volumes indicates low volatility. Volume set a low high and continued to flatten. This could mean ETH bulls could face difficulty pushing prices higher.
The on-chain outlook suggests that Ethereum’s volatility and vitality have diminished. Ethereum volume (7D MA) reached a one-month low of 54,673.636 ETH.
A reduction in trading volume and volume may be one reason for the loss of momentum in token prices. The decline in participants’ optimism about the retail sector was reflected in slower price momentum.
However, with outflows still dominating, it is clear that confidence remains intact. Daily on-chain traffic represents an outflow of $92.1 million from ETH.
The Ethereum whales remain cautious
Whale movements often replicate price behavior. Over the past month, the most price-correlated group of whales holding 100,000-1,000,000 tokens has declined by more than 2 million ETH.
The above group of whales is synchronized with the price, and the increase of the group’s holdings may lead to the ETH price increase in the short term.
Daily active ETH addresses show that the number of new ETH addresses decreased by 7.45% in 7 days. Although active addresses grew by more than 8 percent, the decline in new addresses indicates that fewer new participants are entering the network.
IntoTheBlock’s price in/out money indicator indicates that an important barrier to ETH price is the $1,317 level, where 1.82 million addresses hold 3.33 ETH.
While there are not many major obstacles ahead for ETH prices, bulls are at a major crossroads. Volatility in retailers could drive prices higher, but clearing the $1,350 resistance level could be key for ETH prices.
Analyst Michael van de Poppe also highlighted the importance of the $1,350 mark for ETH’s price action.
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