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Over 82% of Ethereum investors bought the cryptocurrency above its current market price, according to on-chain data. Indicators show the situation may soon get worse.
According to data from on-chain research and analytics firm IntoTheBlock, 30.21 million ether addresses, equivalent to nearly 83% of the total amount of ether addresses, are “out of the money,” meaning these investors bought ETH above its current market price.
About 2.1 million addresses, 5.76%, is “in the money,” or bought below ETH’s current price. Over 4 million addresses, or 11% of the total, are “at the money” or breaking even. Ether’s price has dropped over 90% from its all-time high in late 2017, when it traded for $1,400.
After hitting its all-time high, the price of ether started plunging – just like the price of most other cryptoassets – to ultimately hit an $80 low in December 2018. Since then it has recovered, and the second-largest cryptocurrency by market cap is currently trading at $131 after dropping 1.5% in the last 24-hour period.
IntoTheBlock data notably shows that most Ethereum addresses were in the money when the cryptocurrency was trading at $250, which could mean that if ether doubles over the next few months most investors would stop being underwater. It’s worth noting that about 4 million ETH addresses, roughly 10% of the total, acquired the cryptocurrency between $714 and $1,340.