Ethereum ETF Inflows Hit $189M as ETH Reclaims $2,000

Ethereum ($ETH), the second-largest cryptocurrency by market value, led the broader altcoin market after climbing more than 18% within the past few hours at press time, surging back above the $2,000 level as bullish momentum continued to carry the asset toward higher zones.

The sharp uptick was shaped by a combination of leverage, new investor participation, supply dynamics, and a breakout from an accumulation pattern. The question now facing the market is whether bulls can sustain the uptrend and keep ETH above the $2,000 mark.

ETH Exchange Supply Falls 15%

On the leverage side, a whale created a fresh wallet and deposited $20 million in USDC onto Hyperliquid, a decentralized perpetuals exchange, according to on-chain data. The funds arrived in three transactions of $10 million, $9.41 million, and $589K. The whale then opened a 4x leveraged long position of 20K $ETH, worth $45.38 million.

The timing of the position coincided with the sudden price surge, suggesting the whale could have been privy to the move. From a technical standpoint, Ethereum was on the verge of breaking out of a sideways range when the position was opened, leaving the whale with an unrealized profit of $6.66 million.

Ethereum spot ETFs added to the buying pressure, per data from SoSoValue. US spot Ethereum ETFs, which began trading in July 2024, give traditional investors a way to gain ETH exposure through ordinary brokerage accounts without holding the token directly. Participants purchased $189.15 million prior to the 18% move — the largest single-day buying volume in 10 months. Spot ETFs from BlackRock, Fidelity, and Grayscale led the pack with $122 million, $36.54 million, and $16 million, respectively.

The buying extended beyond ETF flows. According to Santiment data, the exchange supply of $ETH declined by 15% over eleven weeks. Supply fell from 7.70 million ETH on June 2 to 6.54 million ETH on August 18, with roughly 1.15 million $ETH coins withdrawn from exchanges. Coins held on exchanges represent the most readily sellable portion of ETH's supply, which is why the balance is tracked as a liquidity signal.

Can ETH's Price Reach $2,500?

The charts showed the altcoin first hinted at a bottom on June 6, after rebounding at $1,549. The potential bullish reversal was reinforced by a double bottom pattern, whose neckline at $1,800 was broken through. The retest of the breakout lasted for a month before the eventual breakout took hold.

Ethereum now appears headed toward the $2,500 level. The Bull/Bear Power (BBP) indicator has hit its highest reading this year, at about 528 as of writing. In addition, the large transaction count increased from 2,690 to 6,910 — nearly a threefold rise in a single day.

While the move signals a shifting market structure, bulls need to push $ETH past $2,500 for confirmation, the analysis noted. That zone acts as the most recent lower high of the existing bearish market structure. If the level were turned into support, Ethereum would shift to a bullish structure in the midterm; otherwise, the $2,500 supply zone could reverse the current aggressive buying pressure, though the analysis indicated that outcome looks unlikely.