Despite claims circulating on social media that Ethereum’s ether (ETH) is losing momentum, the data points to a different story, with increasing market confidence and a surge in ETH-related activity. Traders are betting on the token’s continued upward trajectory, reflected in record levels of Ethereum derivatives trading and rising blockchain usage.
According to CoinGlass, Ethereum’s cumulative open interest in both perpetual and standard futures contracts has skyrocketed to a historic 6.32 million ETH, valued at over $27 billion. This marks a 17% increase month-to-date and underscores an uptick in investor interest, confirming that the market remains bullish on Ethereum. This surge in open interest aligns with a 35% price increase for ETH this month, which has risen to $3,400, mirroring Bitcoin’s performance over the same period.
Additionally, data from Velo shows that the premium between three-month ETH futures and spot prices has surged to 16% on offshore exchanges such as Binance, OKX, and Deribit. The premium on the Chicago Mercantile Exchange (CME) has also increased to 14%. Such elevated premiums tend to stimulate cash-and-carry strategies, where traders capitalize on the price difference between spot and futures markets. This could lead to greater demand for U.S.-listed spot Ethereum ETFs, further bolstering the market.
Ether’s options market is experiencing notable activity as well, with over 2 million open contracts on Deribit, valued at $7.33 billion in notional terms, the highest since June. This growing interest in options suggests that sophisticated investors are positioning themselves for Ethereum’s continued price movement.
The rising price of ETH has contributed to a significant boost in the total value locked (TVL) in Ethereum-based decentralized applications, which has reached $65 billion—its highest level since May 2022. A large portion of this TVL is concentrated in leading platforms, such as Lido, with over $32 billion in staked ether, Aave with $26 billion, and EigenLayer holding $14 billion. These figures reflect growing confidence in Ethereum’s ecosystem.
Moreover, the Ethereum network has seen an uptick in on-chain activity, including higher transaction volumes, more wallet creations, and increased fees. While these figures have yet to reach the peak levels observed in March, they still point to increasing interest and utilization of the Ethereum network.
Ethereum has also reclaimed a dominant position in the stablecoin market, with $60.3 billion in USDT now hosted on its network, surpassing Tron for the first time since June 2022. This reinforces Ethereum’s continued centrality in the broader cryptocurrency ecosystem.
Investor sentiment has been further buoyed by political developments, particularly following the election of Donald Trump. The prospect of reduced regulatory hurdles for crypto, particularly in the decentralized finance (DeFi) space, has rekindled optimism about the growth of ETH and major DeFi tokens. Since early November, this renewed sentiment has translated into increased demand for Ethereum.
Overall, despite some negativity in the media, Ethereum continues to show signs of strength, with rising market activity, an expanding derivatives market, and growing adoption across DeFi. These factors suggest that ETH is far from “dead,” and its future remains promising as the ecosystem continues to thrive.
