Recent activity among original Ethereum investors has marked the largest transfer of long-dormant coins since early June. However, the actual number of ETH that reached exchanges was negligible, suggesting that this unusual activity may reflect wallet reshuffling rather than holders rushing to cash out as the underlying asset continues to contend with the $2,700 level. Data indicates that Ethereum’s Age Consumed metric experienced a significant increase, reaching approximately 580 million token-days on September 30. This was approximately nine times its typical weekday level during September and represented the highest figure since June 2.
Age Consumed quantifies the flow of coins by assessing the duration they have remained inactive. This suggests that a substantial increase points to the abrupt transfer of considerable amounts of older ETH. While this may appear to be seasoned investors attempting to capitalise on the recent rally that propelled ETH from $1,500 to $2,700 and secure some profits, Santiment has provided reassurance that this does not appear to be the situation. On September 30, the exchange supply experienced a modest increase of approximately 18,000 tokens, followed by a notable decline of around 21,000 ETH the subsequent day. This relatively insignificant amount indicates that the immediate selling pressure did not experience a notable increase, particularly in contrast to the approximately 5.9 million coins held on trading platforms.
In contrast, exchange balances surged by over 140,000 ETH on June 2, coinciding with the last significant increase recorded in the Age Consumed metric. While Santiment noted the difficulty in identifying the parties responsible for the recent transfer of dormant ETH, analysts indicated that similar movements in the past have typically aligned with wallet reorganisations rather than direct sales. Meanwhile, prominent trader Merlijn The Trader emphasised what he perceives as a significant change in the ETH/BTC pair. He contended that the altcoin has disrupted the protracted downtrend that has burdened it in comparison to the market leader for almost a decade. The trader characterised the development as potentially signalling the phase in which ETH solidifies its position as the market’s “blue chip.”
Fellow analyst noted that the Ethereum setup remains “pretty solid” and elaborated that the current landscape is not as bearish as some may perceive. However, he emphasised that ETH’s future trajectory will be significantly influenced by the subsequent movements of BTC. Interestingly, the sentiment surrounding the largest altcoin has recently declined to its most pessimistic level since June 7, with Santiment documenting a mere 0.89 bullish comments for each bearish remark. However, similar occasions could have the opposite effect on the underlying asset, the analysts noted.
