According to a recent X post by crypto trader Coinvo, Ethereum (ETH) is deemed ‘insanely undervalued’ at its current price. Various on-chain metrics appear to back Coinvo’s assertion, as ETH accumulation addresses continue to acquire the digital asset despite lackluster price performance over the past few years.
Ethereum May Be Due For A Rally Soon
While ETH has risen 8% over the past two weeks, it is still down 43% over the past year, trading around $1,700 at the time of writing. From its all-time high (ATH), Ethereum has experienced a decline of 63.6%, contrasting with Bitcoin (BTC), which is only 13.7% below its ATH.
This relative underperformance of Ethereum compared to other major cryptocurrencies has prompted concerns regarding its long-term outlook. Although Bitcoin enjoys a first-mover advantage coupled with broader institutional adoption, Ethereum faces mounting competition from rival smart contract platforms such as Solana (SOL), SUI, and Polkadot (DOT).
Nevertheless, despite the prevailing negative sentiment, some analysts posit that ETH could be on the brink of a turnaround. Coinvo asserts that Ethereum is significantly undervalued and could be positioned for a substantial rally.
The trader has shared a chart utilizing the Market Value to Realized Value (MVRV) Z-score — a metric employed to pinpoint potential market tops and bottoms. The chart indicates that Ethereum’s MVRV Z-score has now entered the green zone — between 0 and -1 — a range historically indicative of a market bottom and potential trend reversal.
In the meantime, inflows into Ethereum accumulation addresses have surged to historic highs. In an X post, analyst CryptoGoos presented a chart illustrating record ETH inflows into these addresses in 2025.
High inflows to accumulation addresses signal that long-term investors are actively buying and holding ETH, even in a declining market. This trend often reflects growing confidence in Ethereum’s future value, suggesting that a potential bullish sentiment is quietly brewing beneath the surface.
Further, in a separate analysis, CryptoGoos noted that Ethereum’s exchange reserves are at a multi-year low. Diminishing reserves on exchanges imply reduced selling pressure and a tightening supply, which could bolster ETH’s scarcity narrative, potentially leading to higher prices in the near term.
ETH Holders Not ‘Bullish Enough’
Noted analyst Crypto Rover has drawn parallels between ETH’s present price action and BTC’s trajectory in 2021. The analyst suggests that if Ethereum replicates Bitcoin’s previous performance, it may be on course to achieve a new ATH in the coming months.
However, concerns linger regarding the potential for further decline in ETH’s price, particularly if the global macroeconomic landscape worsens amid the looming possibility of reciprocal trade tariffs imposed by the US President Donald Trump. As of press time, ETH is trading at $1,754, down 2.1% in the past 24 hours.
