NewsBTC
6 March 2025
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Ethereum Price Rises 10% as MVRV Ratio Falls Below 1

Ethereum's price has closely followed Bitcoin’s recent trends, rebounding with a 10% increase in the last 24 hours after a market correction raised investor concerns.

MVRV Ratio and Institutional Accumulation Trends

  • Ethereum’s Market Value to Realized Value (MVRV) ratio suggests it is currently undervalued.
  • Large-scale investors are increasing their ETH holdings, indicating potential support at key price levels.
  • The MVRV ratio has fallen below 1, historically signaling an undervalued zone.
  • There is a rise in the number of ETH accumulation addresses, suggesting strategic buying by large investors.
  • Investors are focused on the $2,200–$2,300 price range, expected to act as strong support.

Market Conditions and Long-Term Ethereum Outlook

  • Macroeconomic factors, including US liquidity policies, influence Ethereum’s price movements.
  • Stricter monetary policies and inflation may lead to sharp price drops.
  • Despite risks, Ethereum remains the second-largest cryptocurrency by market cap, attracting institutional interest.
  • The long-term outlook for Ethereum is positive due to its established position and mature DeFi projects.