Ethereum (ETH) Showcases Strength in Long-Term Holdings, Outperforming Bitcoin (BTC)

According to IntoTheBlock data, Ethereum is showcasing remarkable strength in long-term holdings. Currently, 74.7% of the Ethereum addresses are held

Data from IntoTheBlock reveals the strength of Ethereum in the long-term holdings. Currently, over 74.7% of Ethereum addresses are being held by investors for extended periods, which is higher than Bitcoin. This could indicate greater confidence in the Ethereum ecosystem, which may continue to drive its dominance in DeFi and NFTs.

However, investors believe this trend may continue until Ethereum approaches its all-time high again, at which point holders might choose to realize their profits. Despite this, the resilience of Ethereum investors serves as a strong indicator of its potential for long-term growth, regardless of any short-term market shifts.

A recent report by Santiment reveals a major shift in social sentiment for major cryptocurrencies. Historically, crypto markets have moved in the opposite direction of retail expectations, with the crowd often getting the market direction wrong.

When zooming out, we can observe that periods of extreme bearish social sentiment on leading assets, such as Bitcoin, have often marked the bottom and the time for a price bounce upward. Interestingly, the report highlights contrasting positions in sentiments for Bitcoin and altcoins.

As traders tend to grow more cautious about speculative assets during market turbulence, they shift toward safer bets when placing their money at stake. This could often create opportunities in lower-priced or undervalued altcoins, especially when the community places too much emphasis on flag

ship assets.

Bitcoin and Ethereum are treading different paths presently. Bitcoin’s social sentiment has remained neutral as there has been an almost equal amount of positive and negative commentary about the digital currency.

After the Fed-induced market dip in late December, the cryptocurrency bounced upward and has since consolidated its gains between the $90,000 each. For the most part, it seems that traders are awaiting the eventual and resolute movement before passing on an authoritative remark concerning where this thing will ultimately end up.

Meanwhile, Ethereum slipped recently after briefly retaking the $4,000 level. Now trading around $3,000, a move below this might induce panic across the board.

On the other hand, such a correction could present a great buying opportunity for the long-term investor. As the market dynamics shift, this interaction of sentiment with price movements will continue to play a pivotal role in the crypto landscape.

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