Ethereum Has Entered the Low-Risk Buying Zone: This Metric Marks the Opportunity Zone!


According to data provided by Santiment, some crypto currency investors are experiencing losses after the market decline, while participants who do not yet have any positions are evaluating assets while they are in the opportunity zone. What is a low-risk buying area?

What is a Low-Risk Reception Zone? What Does It Mean For Ethereum?

In some cases, the market provides favorable conditions for entry compared to the periods when assets peaked. The risk of the buying or selling zone is calculated by dividing the total market value of an asset by its realized value MVRV it is determined by its ratio. This indicator determines how much an asset is bought and sold and whether it is traded at a discount.

MVRV indicator Ethereum for the first time in almost two months I logged into the registered discount zone. Accordingly, it was determined that logging in at this time may be less risky. But the data obtained can be evaluated in different ways. The MVRV rate, like any other indicator, can be used with various inputs, and in this case it is set to show the state of the market on the basis of short-term data. The long-term outlook for the same indicator is Ethereum it shows that its market capitalization is still at an extreme level and it needs to see a 40% correction to enter the low risk zone.

The Price of Ethereum

The Ethereum price is trading at the 4.209 dollar levels as of the time of writing of this article. In addition to the MVRV indicator, other on-chain metrics, according to experts, are quite healthy. The corporate current, on-chain improvements, the ETH 2.0 journey and a lot of data give positive signals on behalf of Ethereum.

The leader continues to follow Bitcoin Ethereum, it had reached an all-time high by touching $4,859 8 days earlier. ETH, which has been hovering in a downward trend since the beginning of the week, has signed an important session by defending the critical level of $ 4,000.

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