Ethereum (ETH) shows resilience, trading 85% above its average acquisition price, indicating market changes and new cycles ahead.
Current Status of Ethereum
As of September 2025, Ethereum (ETH) is trading 85% above its average acquisition cost, suggesting a significant recovery. Historically, ETH has exhibited steady growth, but recent data from CryptoQuant reveals changes in market dynamics.
Cyclical Market Changes
The Ethereum market is transitioning from linear growth to cyclical patterns of accumulation and distribution. Previously, there were clear market tops forming in March, May, and December 2020-2021, but this pattern is now evolving into more predictable cycles. This shift indicates a maturity in the market, where investors accumulate ETH during dips and distribute during peaks.
What This Means for Investors?
This cyclical dynamic provides traders with opportunities for strategic trading decisions with predictable entry and exit points. However, it also serves as a warning of potential risks if distribution phases lead to prolonged bear markets. Long-term holders may view this as a sign of stability, while short-term speculators should prepare for increased volatility.
As Ethereum continues to evolve, monitoring these cycles is crucial. The 85% premium over acquisition cost suggests strong bullish sentiment, but the formation of market tops hints at possible corrections.
