Ethereum: What you should know about Long-term holders’ ‘historic’ sell-off

October and November were historic not only for Ethereum, but for all altcoins as well. However, “historic” does not automatically mean a positive development. In the case of Ethereum, this particular development is the perfect example.

Ethereum marks a new ATH token…

Not in terms of price action though. Instead, it’s about ATH, one group thanks to its investors.

Since the all-time high of $4,878 10 days ago, ETH has been dropping on the charts. The 7.7% drop on 16 November 16 has greatly excited many investors in the market. Since this was the first major price drop in about two months, it is not surprising to see investors panicked.

Ethereum price action | Source: TradingView – AMBCrypto

The volume of consumption mentioned above does not tell the whole story. In fact, in just 24 hours, 4 billion coin days were destroyed as many long-term coin holders sold their assets. This was the biggest selloff the LTHs had ever seen due to fear of major losses.

As a result, a file is flagged ATH Peak currency days were devastated.

Ethereum CDD | Source: Glassnode – AMBCrypto

These were some ancient coins as well. Over 1.6% of the supply of coins between 5 and 7 years old were sold. Days of Destroyed Coins also included coins aged 3 to 5 years.

As expected, for the first time in 3 years, Liveliness rose significantly to the point that it was at an all-time high. This indicates that many long-term contract holders are liquidating their positions.

Ethereum LTHs | Source: Glassnode – AMBCrypto

Here, it is worth noting that these were only LTHs and not whales, with large transactions (transactions worth over $100,000) oscillating within average numbers and ranges.

Large Ethereum Transactions | Source: Intotheblock – AMBCrypto

However, the drop in price has done more harm than simply induce long-term holders to sell. There were many investors who suffered losses in these ten days.

The all-time highs and lows dictate that more than 3.37 million addresses that bought ETH around ATH prices suffer massive losses. The only people who really win are the 394K addresses that bought ETH around its all-time low prices a long time ago.

The Highs and Lows of All Times in Ethereum | Source: Intotheblock – AMBCrypto

Incredibly, one good thing emerged from the aforementioned low price.

Ethereum is now back in the opportunity zone after two months. This low-risk buying zone may be a payback for long-term owners. Especially when new investors buy back the ETH that was sold.

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