ETH passes $1,700 for first time since September, but analysts say local top is in play

Ethereum briefly surpassed $1,700 on February 2, surging above $500 since the beginning of the year, but some analysts say the cryptocurrency’s bull run may be short-lived.

Chart It was published Santiment, a market intelligence platform, has identified several key points that suggest there may be a local top.

This chart is an overlay of three key metrics.

1. Price (Ethereum)
2. Percentage of daily on-chain volume in profit loss (ETH)
3. Supply on exchanges (as % of total supply) (ETH)

We have found that a large gap has formed between major ETH profit taking and the availability of ETH supply on exchanges.

On February 2nd, the chart shows ETH’s major profit taking reached its highest level since February 2021.

On the same day, February 2nd, ETH supply on the exchange fell below 11.25%, the lowest level since June 2018.

According to analysts, this could indicate the formation of a local top over the weekend, with ETH currently holding steady around $1,640.