Ethereum’s price fell toward $2,100 amid a market pullback, but on-chain data indicates it has entered a historically significant accumulation zone. The MVRV Ratio suggests ETH is undervalued, with similar past conditions preceding major rallies. Meanwhile, U.S. spot Ethereum ETFs experienced significant outflows, led by products from Fidelity and Grayscale.
Ethereum declined nearly 5% on Thursday, pushing its price toward $2,100. New on-chain data suggests the asset has entered a historically significant accumulation zone.
Analyst Ali Martinez described the current MVRV Ratio range as a generational “buy zone.” The metric, which compares market value to investor cost basis, has declined into the 0.8 to 1.0 range, indicating a reset to fair value.
Previous instances of this MVRV range were followed by gains of 150%, 5,390%, 130%, 280%, and 250%. Martinez stated, “On-chain data suggests Ethereum is approaching a long-term bottom. For those with a 12-24 month horizon, the accumulation window is officially open!”
Trader “EliZ” also observed recent conditions offered short-term opportunities. The analyst noted that holding within a $2,050 to $2,180 daily range keeps the medium-term uptrend intact.
A breakdown below $2,000 would invalidate the current structure. Such a move could create a setup for aggressive short positions and a major downward move.
On the institutional front, U.S. spot Ethereum exchange-traded products faced $55.7 million in outflows on March 18. This ended a five-day streak of inflows.
Fidelity’s FETH product saw the largest outflows at $37.11 million. Grayscale’s ETHE followed with nearly $9 million in outflows.
VanEck and Bitwise’s ETHV and ETHW products each saw outflows of approximately $4.8 million. The data reflects broader market turbulence impacting institutional products.
