Ethereum is still struggling to reach its March high of $4,000, let alone the all-time high of $4,891 in November 2021. Ethereum’s (ETH) on-chain movements along with its decentralized finance sector have remained strong while the leading altcoin is seeing…
Ethereum is still having difficulty rising to its peak of $4,000 in March, much alone the record high of $4,891 in November 2021.
The Ethereum ETH price is 1.49%.
While the dominant cryptocurrency is experiencing substantial price fluctuation amid market upheaval, Ethereum’s on-chain movements and decentralized financial sector have stayed solid.
On Tuesday, November 12, ETH momentarily reached a four-month high of $3,444. Over the last two days, the king altcoin has been stabilizing between $3,120 and $3,290 after the price dropped from its local high.
Ethereum’s foundations are still sound even if it has dropped 34% from its peak.
ETF inflows
Since last week’s U.S. elections, spot ETH exchange-traded funds in the United States have been seeing a string of inflows.
Fidelity’s FETH and BlackRock’s ETHA funds, valued at $115.5 million and $101.1 million, respectively, led the investment products’ record net inflow of $295.5 million at the beginning of the week.
With a net inflow of $146.9 million on Wednesday, spot ETH ETFs saw $241.7 million in inflows overall.
Since their July introduction, these ETH-based investment products have never had such high demand.
Whale accumulation
As market players are avaricious, Ethereum is also witnessing a rise in whale accumulation.
According to statistics from IntoTheBlock, there was a net inflow of about 97,000 ETH, or over $310 million, for large holders yesterday.
Retail investors’ fear of missing out is frequently triggered by whale accumulation. This typically causes the price to fluctuate a lot before steadily rising.
Exchange outflows
Apart from whales, Ethereum has also been amassed by regular investors.
According to ITB statistics, ETH had an exchange net outflow of $1.12 billion during the previous week. Strong retail accumulation is indicated by the high holder-to-exchange net flow ratio on November 9, 11, and 12.
Exchange outflows typically result in long-term holding, which eventually opens the door to consistent growth.
DeFi growth
Additionally, Ethereum’s DeFi sector has been growing.
According to statistics supplied by Defi Llama, the total value locked in Ethereum-based protocols grew by almost $10 billion after the cryptocurrency market acquired positive momentum following Donald Trump’s victory in the U.S. presidential election.
Additionally, during the last seven days, the total fees earned by DeFi platforms on the Ethereum network have quadrupled to $18 million. Over the last day, these processes brought in a total of $15.5 million.
Hitting $4k before 2025?
According to market research company Amberdata, there is an 18% possibility that Ethereum could hit $4,000 by the end of the year.
“ETH’s all-time high is still a ways off. It gives us hope that we could have some leeway.
An X post was written by Amberdata.
Strong ETH ETF growth and growing whale accumulation may contribute to the upward trend in the price of Ethereum.
It’s crucial to remember, too, that despite strong on-chain indications, macro developments have the ability to divert the market’s attention.