Ethereum Price Forecast: ETH investors resume buying amid strong ETF inflows and low exchange reserves

Source Fxstreet

Ethereum price today: $2,570

  • Ethereum exchange reserves have flipped toward accumulation, reaching an all-time low of 18.57 million ETH.
  • Ethereum ETFs posted $583 million in weekly net inflows, their strongest performance since December.
  • MEXC's Tracy Jin gives a cautious ETH price growth prediction despite positive developments surrounding the Ethereum ecosystem.
  • ETH faces rejection at the 200-day SMA after holding the $2,500 support through the weekend.

Ethereum (ETH) briefly crossed above $2,600 on Monday following a switch to accumulation in the top altcoin's exchange reserve and $583 million in inflows into ETH investment products last week.

Ethereum exchange reserves hit all-time low amid $583 million ETF inflows

Ethereum resumed bullish action on Monday after its exchange reserve flipped back to a downtrend, declining from 18.72 million ETH on Saturday to an all-time low of 18.57 million ETH over the past 24 hours. As the total value of exchange reserves drops, it indicates rising buying pressure.

ETH Exchange Reserve. Source: CryptoQuant

During the period, ETH's total value staked also grew by 80K ETH, signifying a stronger bullish sentiment among investors, according to data from Beaconcha.in.

The shift toward accumulation in ETH follows a strong week of institutional buying pressure, which pushed net inflows in global Ethereum products to $583 million last week, according to CoinShares data.

The buying pressure was spearheaded by $528.12 million inflows into US spot ETH exchange-traded funds (ETFs), their highest weekly performance since December 2024. The products recorded a 19-day run of net inflows before breaking the streak on Friday, with mild outflows of $2.18 million following the escalation of tensions in the Middle East.

US spot ETH ETF Flows. Source: SoSoValue

"Ethereum's recovery is being supported by the 'digital oil' narrative and ecosystem fundamentals, like the Pectra upgrade and increased stablecoin activity, with almost 50% of all stablecoins on the Ethereum network," said Tracy Jin, COO of crypto exchange MEXC.

"It's also good to see that the rules around staking and new stablecoin-related ETFs are coming into effect, which is helping to boost investor confidence," she added.

Despite the positive developments surrounding ETH recently, Jin maintained a cautious end-of-year price prediction for ETH.

"ETH could be between $2,800 and $3,600 by the end of the year, with the possibility of going even higher if ETF staking and network developments speed up," Jin said.

Ethereum Price Forecast: ETH sees rejection at 200-day SMA

Ethereum experienced $134.04 million in futures liquidations, with long and short liquidations totaling $70.55 million and $63.49 million, respectively, over the past 24 hours, per Coinglass data.

ETH held support near $2,500 through the weekend and tested the 200-day Simple Moving Average (SMA) as dynamic resistance before experiencing a rejection. The top altcoin could test the $2,850 key resistance if it flips the 200-day SMA support. A rejection at $2,850 will imply a double-top formation.

ETH/USDT daily chart

On the downside, if the $2,500 support fails, ETH needs to hold the lower boundary of a key channel, strengthened by the 50-day SMA, to prevent a decline to the $2,260 to $2,110 support range.

The Relative Strength Index (RSI) is above its neutral level and could test its moving average line, while the Stochastic Oscillator (Stoch) is below its neutral level. A successful crossover above in both indicators will strengthen the bullish momentum.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Bitcoin drops below $110K ahead of $22B options expiry; altcoins tumbleBitcoin fell below the $110,000 mark on Friday, heading for a steep weekly loss as nearly $22 billion in cryptocurrency options were set to expire. The drop also comes as traders await key U.S. inflation data that could influence the Federal Reserve’s policy outlook.
Author  Mitrade
Sept 26, Fri
Bitcoin fell below the $110,000 mark on Friday, heading for a steep weekly loss as nearly $22 billion in cryptocurrency options were set to expire. The drop also comes as traders await key U.S. inflation data that could influence the Federal Reserve’s policy outlook.
placeholder
Tesla set to beat Q3 delivery estimates on robust U.S. and China demand, says RBCTesla (NASDAQ: TSLA) is on track to exceed market expectations for third-quarter deliveries, driven by stronger sales momentum in both the United States and China, according to RBC Capital Markets. The firm projects 456,000 vehicle deliveries for Q3, compared with consensus forecasts of 440,000 (Visible Alpha) and 448,000 (FactSet).
Author  Mitrade
Sept 26, Fri
Tesla (NASDAQ: TSLA) is on track to exceed market expectations for third-quarter deliveries, driven by stronger sales momentum in both the United States and China, according to RBC Capital Markets. The firm projects 456,000 vehicle deliveries for Q3, compared with consensus forecasts of 440,000 (Visible Alpha) and 448,000 (FactSet).
placeholder
Dollar Weakens and Stocks Stall as Gold Rises Ahead of Fed DecisionOn Wednesday, global markets saw the dollar weaken, shares dip slightly, and gold rise to new highs as investors prepared for the Federal Reserve’s anticipated interest rate cut later in the day.
Author  Mitrade
Sept 17, Wed
On Wednesday, global markets saw the dollar weaken, shares dip slightly, and gold rise to new highs as investors prepared for the Federal Reserve’s anticipated interest rate cut later in the day.
placeholder
Key Challenges Ahead for US-China TikTok Ownership DealA newly announced framework agreement between the United States and China aims to shift TikTok’s ownership to U.S. control, raising numerous questions and challenges.
Author  Mitrade
Sept 17, Wed
A newly announced framework agreement between the United States and China aims to shift TikTok’s ownership to U.S. control, raising numerous questions and challenges.
placeholder
Oil Prices Rise Following Attacks on Russian Energy Infrastructure Oil prices climbed further on Monday as markets reacted to Ukrainian drone strikes targeting Russian refinery infrastructure, raising concerns over potential disruptions to Russia’s crude and fuel exports.
Author  Mitrade
Sept 15, Mon
Oil prices climbed further on Monday as markets reacted to Ukrainian drone strikes targeting Russian refinery infrastructure, raising concerns over potential disruptions to Russia’s crude and fuel exports.
Related Instrument
goTop
quote