Why Ethereum [ETH] address outflows may be headed for DeFi

ambcrypto.com:

March has been quite an interesting month for the crypto market and especially for ETH. But now that the month is coming to an end, it is important to reflect on Ethereum and ETH’s performance which may offer insights into what to expect in April.

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From a price perspective, ETH managed to break through the $1,800 price level multiple times in the last two weeks. However, it has been encountering resistance above the same level.

Similar past instances where ETH encountered a ceiling in its uptrend earlier this year resulted in a significant pullback. By that logic, ETH might be about to experience an increase in sell pressure.

Source: TradingView

ETH’s MFI already indicates that there have been some outflows in the last few days. Some on-chain data also aligns with these observations. According to the latest Glassnode data, the number of ETH sending addresses is currently at a 4-week high. This may indicate a surge in sell pressure.