Ethereum surged to nearly $2,300 on March 16, marking its highest price since early February. The 8% daily gain occurred despite large holders selling hundreds of millions worth of ETH, and amidst a broader crypto rally. Analysts noted key resistance at $2,450, while data showed futures trading activity far outpacing spot volumes, suggesting leveraged positions dominate current market dynamics.
Ethereum climbed to almost $2,300 on March 16, posting an 8% gain in a single day. This marked its first return to that price level since early February.
The rally proceeded even as large holders reportedly sold 380,000 ETH, worth about $800 million, in the preceding week. Analyst Wise Crypto shared data showing these sellers treated short-term price spikes as an exit opportunity.
The analyst identified key support and resistance levels at $1,917 and $2,338. A sustained break above resistance could see ETH test prices near $2,450.
Wise Crypto also noted the Market Value to Realized Value (MVRV) Long/Short Difference for ETH was deeply negative. This indicates short-term traders are currently profiting while long-term holders may be underwater.
Market activity showed derivatives trading vastly exceeding spot market volume. Analyst Darkfost reported that Ethereum futures volume on Binance was over six times greater than spot volume.
“This reflects genuine weakness in Ethereum’s spot market at the moment,” Darkfost wrote. The analyst suggested sales from entities like the Ethereum Foundation could contribute to investor caution.
Not all analysts viewed the market as range-bound. Crypto commentator Ash Crypto stated a daily close above $2,400 could propel ETH toward $2,800.
