Ethereum prices were pulled back for three consecutive days, dropping nearly 10% from their weekly high, but the inflows into ETH funds and increased network activity suggest that token gatherings may have ended.
summary
- Ethereum Price Rally has been stagnant over the past three days and appears to be a healthy pullback.
- American retail and institutional investors continued to buy ETFs.
- Technical analysis shows that cup and handle patterns are formed, pointing to more benefits.
Ethereum ETF inflows rapidly
The Ethereum (Eth) token retreated to $4,410 on August 16th, exceeding 10% from the high of this week. It surpasses April’s lowest level by 217%, and its strong foundations and technology show a surge of 55%
American institutional and retail investors continued to accumulate Ethereum this week. Sosovalue data shows that these funds added $2.8 billion. It was the fourth week that Ethereum ETF added more money than Bitcoin.
Eth ETF currently holds $30 billion in assets, while BlackRock’s ETHA leads with $15.9 billion. Daily trading volume surged to $2.4 billion on Friday. This is a sign of an increase in demand. Other top Ethereum funds come from Grayscale, Fidelity, and Bitwise.
You might like it too: Solayer announces SVM bridge to connect Solana with SVM chain
Ethereum ETF has added assets for robust growth in various areas of the crypto industry. It maintains a 68% market advantage in the decentralized financial industry, locking its total to $23 billion.
Similarly, Ethereum’s Stablecoin growth has been accelerating recently. Stablecoin supply has grown by 10% to $144 billion over the past 30 days, but the number of addresses has increased by 30% to 2.6 million.
The average trading volume for Ethereum skyrocketed to $878 billion over the same period, much higher than Tron (TRX) $664 billion.
Ethereum price technology analysis
ETH Price Chart | Source: crypto.news
The daily time frame chart shows that ETH prices have fallen into bullish momentum after bottoming in April. This surge came as ETF influx and ecosystem growth gained momentum.
ETH formed a golden cross in July, confirming its bullish momentum. Most importantly, we formed a cup and handle pattern with a depth of 68%.
If you measure the same distance from the top of the cup, the target will be $6,840. This is about 55% above the current level.
However, in the short term, Ethereum prices will retest support for $4,110 and then bounce. This pattern is known as break and retest. It occurs when an asset exceeds a critical resistance level, retests it and resumes its bullish trend.
read more: Spark Crypto prices will be oversold as whale purchases intensifies
