Ethereum, the second largest cryptocurrency by market cap, has been stuck in a price correction. A CryptoQuant analyst now suggests Ethereum might be nearing the end of this correction, potentially leading to a bullish turn.
A CryptoQuant analyst points to the Taker Buy Sell Ratio and Open Interest (OI) as key metrics indicating a potential bullish reversal. The Taker Buy Sell Ratio measures the ratio of buyers to sellers, and a recent positive ratio suggests increasing buyer dominance.
OI, representing the total number of open long and short positions, hit record highs in June 2024. High OI levels often indicate significant upcoming price movements. Recent data shows OI declined but may now be stabilizing, suggesting leveraged players might re-enter the market, driving demand.
Kesmeci concludes that while buyers are regaining strength, it remains uncertain if this marks the beginning of a sustained rally or a temporary rebound.
