Ethereum Accumulation Addresses Double Since January 2024, According to CryptoQuant

Recent data from CryptoQuant reveals a notable surge in the number of Ethereum (ETH) held in accumulation addresses, indicating that a significant amount of the cryptocurrency is being retained by entities not actively trading or spending their funds. As of October 18, the total number of Ethereum in these addresses has surpassed 19 million, nearly doubling since January 2024 when it stood at 11.5 million.

Key Insights

Analysts speculate that this number could exceed 20 million by the end of the year, largely driven by the recent approval of spot Ethereum exchange-traded funds (ETFs) by the Securities and Exchange Commission (SEC). This regulatory milestone has opened the door for both institutional and retail investors to participate more fully in the Ethereum market.

As the analyst notes, the total value of these accumulation addresses is projected to reach approximately $80 billion if Ethereum maintains a price of around $4,000. By the end of 2024, the holdings in accumulation addresses could rival the market caps of some of the world’s largest companies.

Current Holder Profitability

Additional data from IntoTheBlock shows that 71% of Ethereum holders are currently in profit, while 29% are facing losses, and about 1% are at a neutral position. A closer examination of the holder demographics reveals that over 74% have held their Ethereum for more than a year, with 23% holding for between 1 to 12 months. Only 3% of holders have retained their ETH for less than one month.

Recent Price Movement

Ethereum's price has seen a positive trend, rising over 2% in the last 24 hours and climbing more than 10% in the past week. As of the latest update, ETH has successfully reclaimed the $2,700 level.

Conclusion

The doubling of Ethereum in accumulation addresses since the start of the year highlights a growing confidence among holders, particularly in the wake of institutional interest sparked by ETF approvals. As more investors accumulate Ethereum, the potential for future price appreciation and market stability becomes increasingly significant.