Ethereum Price Falls Below $3,500 Amid MVRV Uptrend Indicators

The price of Ethereum (ETH) has recently faced significant bearish pressure, dropping below $3,500 after hovering around $3,900. This downturn raises concerns about ETH's ability to surpass the $4,000 mark.

Key Points

On August 1, ETH briefly fell below $3,500.
The decline has led to doubts regarding a potential new all-time high.
Crypto analyst Burak Kesmeci noted that the MVRV ratio for ETH has been in a downtrend since 2018 but might be close to breaking this trend.
MVRV ratios above 3.7 indicate overvaluation, while those below 1 signify undervaluation.
Kesmeci highlighted recent record capital inflows into US-based spot ETH ETFs as a positive indicator.
If the MVRV ratio remains above the 365-day simple moving average, ETH could regain upward momentum and potentially retest the $4,000 level.

The current price of ETH is approximately $3,523, reflecting a 5% decline in the last 24 hours.