Ethereum’s fundamentals remain strong despite a concerning dip in total market dominance.
- Ethereum total market dominance continues to give ground
- Price resilience shown after midweek price plunge
- Strong signs as trading volume shows consistency
The Ethereum (ETH) market will be buoyed by its response to a strong midweek sell off, with the week rounding out showing mixed signs for price movements in the week ahead.
24-hour trading has been something the market will take into account with high consistency throughout week, as the market found the bottom and saw ETH as being somewhat undervalued at US$577.66.
ETH total market dominance is down again this week. It is unclear how markets will react to the news, but in a 14 day period ETH has lost over 3.5% of its total market dominance.
ETH started the week continuing a strong surge coming out of last week, hitting an early week-high of US$955.69, according to market information provided by CoinMarketCap. The highs were short lived and ETH soon experienced a hard correction shedding nearly US$400.
The market found the ETH low at US$577.66 and with sustained heavy trade ETH was soon on course to recover 29.7%, registering a price of US$749.69
ETH market cap followed a similar line to its price reaching an early week-high of US$93 billion before hitting the brakes and plunging to US$ 56.2 billion. That is a drop of 39.5%.
In terms of total market dominance ETH has continued to give ground to market competitors. ETH showed a total market dominance of 21.01%and slid to 19.83%. That is put in perspective by looking at the most recent high.
On 2 February, ETH had a total market dominance of 23.38%. That means ETH has lost over 3.5% of total market dominance as ETH closes out the week. When compared to bitcoin, in the same time frame it has added nearly 1% to its total market dominance.
24-hour trading volume
Good signs for market confidence have come from ETH’s 24-hour trading volume this week. ETH has been traded in relatively stable cycles, showing a degree of stability despite a heavy drop in price.
ETH began trading in a band between US$2.56 billion and US$3.22 billion and only gradually started to increase. That gradual increase led to the week’s peak at around US$6.7 billion dollars following the trough as the market looked to buy the dip.
That high intensity trade was sustained for the better part of 12 hours. Even though ETH trading saw a return to more normal levels in the low US$3 billion band ETH continued to show upward trends in price.