Every trading day for Ethereum spot ETFs has resulted in net inflows since the 12th of August. Twelve trading days of inflows totalling over $1.5 billion represented a significant capital flow, which helps elucidate the swift price increases of the leading altcoin. Analytics platform Arkham has noted that clients of BlackRock have acquired more than $1 billion, with no recorded days of net selling. In a span of 9 days, BlackRock’s ETHA spot ETF has acquired $1.02 billion worth of Ethereum. ETF inflows of this magnitude indicate robust demand; however, the question remains whether this will be sufficient to propel ETH prices beyond the $2.5k threshold.
The Ethereum taker buy/sell ratio declined to 0.81 on Binance, marking one of the most extreme readings in history. According to crypto analyst Moreno, the aggressive sell volume via market orders was approximately 23% greater than the taker buy volume. Despite significant selling pressure in the derivatives market, ETH was trading just below the $2.5k round-number level. It would indicate a robust bullish sentiment if the ratio normalises while the price stabilises around $2.5k.
Examining the realised price across different ETH balance cohorts, the analyst pointed out the $2.26k-$2.35k range as the cost basis for the largest wallets. The market price exceeds the aggregate cost basis of even the largest holders. This indicated that each exhibited cohort possessed unrealised profits to differing extents. A price collapse below key cost basis levels would suggest a prevailing influence of sellers. An increase in Open Interest, coupled with strong selling pressure, indicates a distinctly bearish outlook.
As long as the $2.3k area is defended, bulls can maintain confidence that selling pressure is being absorbed. Ethereum has established a trading range between $2,383 and $2,530. A consolidation phase following a period of explosive gains, particularly near the $2,466 swing high from June, raised concerns about a potential distribution phase. Options data indicated that market participants were anticipating a rally in Ethereum prices for September. A breakout past the $2,530 local range high would serve as the initial indicator for bulls to monitor closely.
