How Ethereum [ETH] is faring amid reshuffled demand

ambcrypto.com:

Ethereum [ETH] volumes have been all over the place in the last three months and more so in September. Perhaps an expected outcome, given the drastic changes that have taken place in the crypto market during the month.

The demand for ETH also witnessed some volatility during the last four weeks. Nonetheless, recent events highlight interesting changes that many investors may not have expected. For example, the rising global inflation resulted in a stronger dollar and a devaluation of some major global currencies.

The Euro and Great Britain pound (GBP) are among some of the major fiat currencies that were negatively affected. As a consequence, their devaluation forced many to seek out alternatives for their wealth. According to a Messari analysis, Ethereum volumes increased against the GBP as investors readjusted their funds.

Ethereum volumes spiked against GBP, but these peaks were similar to many seen on uneventful trading days in late 2020 and early 2021. pic.twitter.com/G9kVSEVvf4

— Messari (@MessariCrypto) September 29, 2022

The report also noted that the observation was more pronounced for BTC than for ETH. It further added that the volume spikes were equivalent to normal volumes observed towards the end of 2020 and in the first few weeks of 2021.

While the aforementioned observations only focused on the European market, they were not a reflection of ETH’s overall volume. On-chain volumes further dropped by a substantial margin since mid-month despite peaks and troughs in-between.

Source: Santiment

ETH’s social volume was also down considerably as compared to its mid-month