- Ether’s price has confirmed a bullish flag pattern, projecting gains up to 34% to around $6,100.
- The share of ETH held on exchanges has fallen to 12%, the lowest since 2016.
- Low ETH supply on exchanges suggests a possible supply squeeze.
- ETH’s price reached a multi-year high of $4,792 after significant gains since August.
- More than 35.7 million ETH, or 30% of the total supply, is currently staked.
Ether (ETH) reached a multi-year price high of $4,792 on Thursday, following a 45% increase from its August low of $3,354. The cryptocurrency is now consolidating under its all-time high of $4,867 after confirming a bullish flag pattern on the daily chart.
According to market data, ETH’s recent rally pushed its value above $4,700, and analysts identify a classic continuation pattern called a “bull flag.” This formation appears following a strong price advance and signals possible further gains. Trader Mister Crypto stated on X that the price target stands at $6,000, representing a 34% increase based on the pattern’s projection.
A bull flag signals potential upward movement but is considered less reliable, with an estimated 54% historical success rate. Some analysts predict even higher price targets, with institutional demand from spot Ethereum ETFs and corporate treasuries cited as factors that could push ETH values much higher.
The percent of ETH supply held on exchanges has dropped to 12.36%, reaching levels not seen since July 2016, according to Glassnode. Industry observers say this decline could trigger a “supply shock,” potentially driving up prices if buying pressure increases.
Trader Merlijn The Trader reported on X that only 18.5 million Ethereum remain on exchanges, attributing the low figures to strong buying from ETF issuers and treasury companies. “When scarcity meets demand, price doesn’t go sideways. Supply squeeze incoming.”
In addition to low balances on exchanges, data from UltraSound Money shows over 35.7 million ETH, roughly 30% of total supply, is staked and not available for sale. This dynamic reflects high “holder conviction” and reduced pressure to sell among investors.
This article does not contain investment advice. All investment decisions carry risks and should be based on individual research.
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