Ethereum’s Strong ETF Inflows and Market Activity Point to Possible All-Time High Break, Analysts Predict
A surge in capital inflows into U.S.-listed ether (ETH) exchange-traded funds (ETFs), combined with rising activity on the Ethereum blockchain and growing institutional interest, could position Ethereum to break its three-year-old price record in the coming months, analysts suggest.
QCP Capital noted that Ethereum has shown impressive momentum recently, despite lagging behind Bitcoin (BTC) and Solana (SOL) in the rally. “ETH’s recent strength supports the possibility of it retesting its all-time high,” the firm said, highlighting the healthy inflows into ETH ETFs and the positive market sentiment surrounding the cryptocurrency.
Continued Inflows Into Ethereum ETFs
“ETH spot ETFs have experienced solid net inflows, totaling $90.1 million on Wednesday and marking a four-day streak of positive inflows,” QCP Capital reported. Despite some market retracement, these inflows demonstrate a growing sense of optimism in the Ethereum market. On Wednesday, ETH surged 11.65%, hitting a high of $3,688, which aligns with QCP’s outlook of capital rotation from BTC to ETH.
Between November 22 and 27, Ethereum ETFs attracted more than $220 million, marking the second-longest streak of inflows since the ETFs launched in July. Total cumulative inflows now stand at $240 million, further strengthening the case for ETH’s continued growth.
Ethereum Poised to Retest Record Highs
“While ETH has trailed behind BTC and SOL in the current rally, its recent price action strengthens the likelihood of it retesting its all-time high of $4,868, a 35.4% potential upside,” QCP Capital added, underlining Ethereum’s strong momentum.
Rising Activity Across Ethereum’s Markets
Ethereum’s fundamentals are also showing significant improvement. A CoinDesk analysis revealed that open interest in Ethereum futures contracts has hit a new record of 6.32 million ETH, worth more than $27 billion. This increase in futures activity indicates stronger institutional participation in Ethereum.
Ethereum’s options market is also heating up, with over 2 million active contracts on Deribit, the most since June.
In addition to futures and options growth, on-chain data reveals increasing activity on the Ethereum blockchain, including higher revenue, transaction fees, new wallet creation, and overall blockchain volumes. Activity levels in the past month have significantly outpaced the quieter period between May and September.
Ethereum Surpasses Tron in Stablecoin Holdings
Another key milestone is Ethereum’s recent overtaking of Tron in the amount of USDT (Tether) hosted on its blockchain. Ethereum now holds $60.3 billion in USDT, surpassing Tron’s $57.94 billion for the first time since June 2022.
With increasing ETF inflows, institutional engagement, and strong network fundamentals, Ethereum is well-positioned to surpass its all-time high, continuing to solidify its place as a leading cryptocurrency.
