ETH slipped below $1,600 – Don't miss out on this buying opportunity!

Over the past four months, Ethereum (ETH) has struggled to maintain its growth momentum. The leading altcoin by market capitalization is trapped in a prolonged bearish triangle.

Therefore, ETH has suffered significant losses during the same period. In fact, as of the time of writing, the price fluctuates around $1,572, down 19% in the past 30 days.

Source: XIn this bearish context, the MVRV of ETH has fallen to a recent low. According to analyst Burak Kesmeci, the MVRV of Ethereum has dropped below 1 and is currently at 0.77

History shows that when MVRV falls to this level, it is often a sign of a buying opportunity, as it is being oversold.

Source: GlassnodeIn previous cycles, according to Ali Martinez, the best buying opportunities for ETH often occur when the price falls below the lower MVRV price range and currently the price of ETH is right at this position.

In other words, the current MVRV position may provide investors with a strategic opportunity to accumulate.

ETH is about to reverse the trend?

According to the analysis, buyers of Ethereum have returned to the market and are currently accumulating this altcoin. Regarding the behavior of whales, these large holders have stopped selling. Therefore, the net flow rate of large holders compared to the flow of exchanges has decreased over the past 7 days, reaching -0.71.

When the rate enters the negative zone, this indicates that whales are not transferring their ETH to the exchange but are withdrawing from it.

Source: IntoTheBlock## Is ETH being accumulated?

In addition, the buy-sell ratio of Taker ETH remains above 1 for two consecutive days. When the Taker ratio is at this level, it reflects strong buying power in the market.

Therefore, currently there are many buyers and they are dominating the market. Such a trend signals increasing demand from all participants.

Source: CryptoQuantFinally, the supply ratio of ETH on exchanges has consistently fallen over the past four days, reaching a level of 0.135

This index's continuous fall indicates that market participants – including both retail and institutional investors – are withdrawing ETH from exchanges. This is often a sign of increasing confidence and decreasing selling pressure.

Source: CryptoQuant## What's next for ETH?

Simply put, with MVRV falling into the oversold zone, investors understand this as a buying opportunity. Therefore, buyers are currently flooding back into the market to accumulate ETH.

With the current conditions, it seems that the MVRV score will not stay below 1 for long and ETH may recover.

If successful, the price will strive to reach $1,706. However, if the MVRV continues below 1, ETH may fall to $1,551 and then begin another bullish phase.

Disclaimer: This article is for informational purposes only and is not investment advice. Investors should do their own research before making any decisions. We are not responsible for your investment decisions.

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