A well-known crypto analyst has highlighted a potentially bullish indicator for Ethereum (ETH) reminiscent of the signals seen prior to the 2020 market rally. Michaël van de Poppe shared insights with his 819,500 followers on X, pointing out that despite a 30% decline in Ethereum”s price, stablecoin transactions on the network have surged by 200% in the last 18 months.
Van de Poppe noted, “During the first stage of growth, price usually doesn”t follow. That”s what happened with $ETH in 2019. Absolutely no growth on the markets, and then, during the period where the stablecoin transactions peaked, that”s when price started to follow. Price follows narrative. That”s what”s going to happen with $ETH in the coming period.” This statement underscores his belief in the correlation between stablecoin activity and Ethereum”s price movements.
He emphasized that now is an opportune moment to consider Ethereum, as historical trends indicate a significant disparity between its current market value and its fair price. Van de Poppe referenced the MVRV ratio, which suggests that Ethereum is currently undervalued, similar to previous key market moments:
- April 2025 crash
- June 2022 low following the Luna incident
- March 2020 downturn related to COVID-19
- December 2018 peak bear market
In each of these instances, Ethereum”s valuation presented a substantial buying opportunity, according to historical data.
At present, Ethereum is trading at $1,947.56, reflecting a decline of 2.99% over the last 24 hours. Investors are advised to conduct thorough research before making any high-risk investments in Bitcoin, cryptocurrencies, or digital assets. As always, any trading activities carry inherent risks, and potential losses are the responsibility of the investor.
For ongoing updates and insights, readers can follow CoinNewsByte on X, Facebook, and Telegram.
