Long-Term Holders' Ethereum Holdings Reach Historic High, Exceeding 70%

Data from blockchain analysis company IntoTheBlock reveals that in December 2022, the proportion of Ethereum held by long-term holders reached a historic high, surpassing 70%. These long-term holders have refrained from selling their Ethereum, marking a new milestone for the digital currency. The latest data from IntoTheBlock also shows that Ethereum has surpassed Bitcoin in the proportion held by long-term holders, with the latter slightly below 70%. HODLers (individuals who persist in holding cryptocurrencies regardless of market or price fluctuations) play a crucial role in maintaining the overall health of any blockchain.

The increase in the number of long-term Ethereum holders indicates confidence in the asset's long-term potential. Despite market uncertainties, investors continue to demonstrate patience and belief. Although Ethereum has seen an 85% increase in market capitalization in 2023 and positive developments in upgrades, ETF applications, and strong adoption indicators, previous IntoTheBlock analyses suggest it may fall slightly short in comparison to other major assets.

However, experts are optimistic about Ethereum's price trend in 2024. Jan Happel and Yann Allemann, co-founders of Glassnode, have set a target of $2,500 for Ethereum, citing "market enthusiasm." They believe more ambitious drivers could help Ethereum climb to $2,700. According to a recent report by Messari, Ethereum's success in 2024 may depend largely on its acceptance in the traditional finance (TradFi) sector. The report notes that Ethereum's environmentally friendly image makes it attractive to Wall Street. Ryan Selkis, CEO of Messari, even predicts a rapid increase in the adoption rate of Ethereum ETFs, following a trend similar to Bitcoin's.