Ethereum steadies near $2.3K as FEI marks 93.43%

Ethereum traded around $2,335.73 at press time. CryptoQuant’s FEI Downside Alpha recorded a Fama Efficiency Index of 93.43% and a Netflow value of -0.0147. DeFiLlama reported total stablecoin supply rose to $322.324 billion, a weekly increase of $2.006 billion, with $183.47 billion on Ethereum.

Price data showed notable swings in May: about $2,200 on May 1, roughly $2,400 on May 6 and about $2,300 by May 11. CryptoQuant classified that period as a “stagnant range.”

The Fama Efficiency Index measures how quickly market prices reflect available information; scores above 95% are generally viewed as highly efficient and scores below 85% as less efficient and more volatile. Netflow tracks net capital moving into or out of exchanges and related venues; a negative Netflow indicates net outflows.

CryptoQuant’s analysis described how institutions use the FEI Downside Alpha for risk management. The report noted that when FEI reaches extreme highs, institutions have used short positions to protect holdings. Previous hedges tied to the indicator returned about 4% to 9.6% in some instances.

DeFiLlama’s figures show stablecoin supply increasing, adding fresh capital to the market. Market trackers recorded an inflow trend for investment products linked to Ethereum.

CryptoQuant wrote, “ETH is not yet in a phase with strong downside fuel attached based on FEI Downside Alpha, and currently, cash preservation and risk management from a hedging perspective are more important than directional chasing.”

Reported figures at press time: FEI 93.43%, Netflow -0.0147, ETH price about $2,335.73, total stablecoin supply $322.324 billion, Ethereum stablecoin share $183.47 billion.