ETH passes $1,700 for first time since September, but analysts say local top is in play

Ethereum briefly surpassed $1,700 on February 2, soaring more than $500 since the start of the year, but some analysts say the bullish activity on the crypto may be short-lived.

A chart published by the market intelligence platform Santiment identified several key points that suggest a local top may be in.

The chart overlaid 3 key metrics:

1. Price (ETH)
2. The ratio of daily on-chain volume in profit loss (ETH)
3. Supply on exchanges (as % of total supply) (ETH)

It found that there is a large gap forming between major ETH profit taking and the availability of ETH supply on exchanges.

On February 2, major ETH profit taking hit its highest level since February 2021, the chart shows.

That same day, on February 2, ETH supply on exchanges fell to below 11.25%, their lowest level since June 2018.

This, analysts say, may point to a local top forming into the weekend with ETH currently stable at around $1,640.