On-chain data reveals that despite a notable sell-off from Ethereum whales over the past week, the asset’s price has continued to show bullish momentum, surging by 15%.
According to data from IntoTheBlock, large Ethereum holders saw a significant decrease in net inflows, from 85,650 ETH on September 19 to 6,420 ETH in outflows by September 23. This sell-off occurred as Ethereum’s price rebounded from $2,300 to $2,400 on September 19, suggesting that the recent price surge was driven mainly by retail traders rather than large holders.
Retail Traders Drive Momentum
Ethereum saw a net inflow of 150,690 ETH into exchanges on September 19, but these inflows quickly subsided. Over the past week, Ethereum experienced a net inflow of approximately $480 million into centralized exchanges. The net inflow ratio of large holders to exchanges suggests that retail traders have been the driving force behind Ethereum’s price increase over the weekend.
Despite the sell-off from larger holders, Ethereum managed to gain 15% in just seven days. The leading altcoin has also risen by 2.2% in the last 24 hours, currently trading at $2,640. Earlier today, Ethereum reached a local high of $2,685, marking the first time it has hit this level in a month, as bullish on-chain signals continued to support its rise.
Market Conditions and Outlook
Ethereum’s market capitalization now stands at $319 billion, with daily trading volume exceeding $17 billion. A significant factor contributing to this market-wide bullish momentum was the U.S. Federal Reserve’s recent 50 basis-point rate cut, which positively impacted risky assets like cryptocurrencies.
However, for Ethereum to sustain its upward trajectory and move towards the $2,800 mark, stronger accumulation from both retail and large holders will be necessary.