Ethereum News Today: Ethereum Hits $4600 as ETF Inflows and Whale Buying Fuel Rally

Ethereum’s price has surged past $4,600, driven by a combination of institutional inflows and aggressive whale accumulation, with two major holders realizing over $24 million in floating profits each. The rally has been supported by a $1 billion daily inflow into Ethereum ETFs on August 12, with year-to-date inflows totaling $8.2 billion, underscoring growing institutional confidence in the asset class [1]. Notable transactions include a 221,166 ETH purchase worth $946.6 million by an unidentified entity, signaling a tightening supply and reinforcing upward price pressure [2].

On-chain activity shows a shift in capital flows, with Ethereum’s Total Value Locked (TVL) declining by 7% this month, suggesting capital is being redirected from decentralized finance (DeFi) into direct holdings or staking. Exchange withdrawals of ETH have also increased, indicating a growing preference for long-term storage or participation in staking rewards [2]. This trend aligns with broader macroeconomic factors, including the appeal of steady staking yields and a favorable regulatory environment in the U.S.

The introduction of the GENIUS Act, a new U.S. regulatory framework for stablecoins, has added a layer of clarity that could further accelerate Ethereum’s adoption. With spot ETH ETF approvals anticipated by Q4 2025, the regulatory backdrop is likely to support continued institutional interest and broader market integration [2]. Corporate treasuries have also increased their Ethereum holdings, reducing the amount available on exchanges and further tightening supply dynamics.

Whale activity has played a central role in the recent price action, with one whale adding to a 15,000 ETH position at an average entry price of $4,309, securing an unrealized profit of approximately $1 million. This accumulation pattern, combined with institutional buying, reflects a growing consensus that Ethereum is entering a period of sustained demand [7]. Arthur Hayes, among others, has also moved $8.4 million in crypto assets, reinforcing the bullish narrative.

Ethereum’s market capitalization has reached $552 billion, nearing the valuation of traditional financial firms like Visa. While Bitcoin remained relatively stable at $119,000, Ethereum’s performance has demonstrated stronger relative strength among cryptocurrencies, particularly as macroeconomic conditions continue to favor digital assets.

With exchange reserves declining and on-chain metrics pointing to increased whale concentration, the technical outlook for Ethereum appears favorable. The cryptocurrency is currently trading just below its all-time high, with analysts suggesting a potential price target of $4,400 in the near term, with further upside potential toward $5,000 if the current trend continues [2]. However, caution is advised as consolidation may precede a decisive upward move.

The ongoing demand from institutional and whale actors, combined with favorable regulatory and on-chain developments, positions Ethereum for continued market strength in the coming months, assuming macroeconomic conditions remain supportive.

References:

[1] Ethereum Surges 8.958% as Whales and ETFs Drive Demand (https://www.ainvest.com/news/ethereum-surges-8-958-whales-etfs-drive-demand-2508)

[2] Ethereum's Price Rally Driven by Whale Activity and Institutional Interest (https://www.ainvest.com/news/ethereum-price-rally-driven-whale-activity-institutional-interest-2508)

[5] Ethereum Price HIts $4,506 as ETF Optimism, Whale Demand Trigger Breakout (https://www.tradingnews.com/news/ethereum-price-hits-4506-usd-as-etf-ptimisim-whale-demand-trigger-breakout)

[7] Ethereum Whale Adds to 15,000 ETH Position at $4,309 Entry (https://blockchain.news/flashnews/ethereum-whale-adds-to-15-000-eth-position-at-4-309-entry)