Ethereum Bulls Charge Amid Solana Meme Coin Exodus

Ethereum Price Turns Bullish Amid Solana Meme Coin Controversy

Ethereum (ETH) price has shown a bullish turn after weeks of trading below $3,000, a level it has not broken since February 2. This shift comes as capital appears to be flowing out of Solana and into Ethereum, with stablecoin inflows and rising TVL supporting its momentum.

Meanwhile, Ethereum's price chart shows short-term EMAs moving higher, signaling a potential golden cross that could push ETH toward $3,020. If this trend continues, ETH could see a 22% rally, while a failed breakout may lead to another retest of key support levels.

Stablecoin Assets are Flowing From Solana to Ethereum

Amid controversy surrounding Solana meme coins, data from Lookonchain suggests capital is shifting toward Ethereum. In the past seven days, stablecoin holdings on Ethereum (USDC and USDT) increased by $1.1 billion, while $772 million in stablecoins exited Solana.

This comes after the launch of the LIBRA meme coin, which racked up many users and sparked concerns about the sustainability of the Solana ecosystem. With questions arising about key players like Jupiter, Pumpfun, and Meteora, investors appear to be rotating funds into Ethereum.

Stablecoins (USDC and USDT Change (7 Days) of Top 15 Chains. Source: Lookonchain

The data suggests that traders may be reducing exposure to Solana due to uncertainty around its meme coin scene and major protocols. Meanwhile, Ethereum seems to be benefiting, attracting fresh liquidity that could fuel DeFi activity, trading, or new token launches. If this trend continues, Ethereum could see further inflows, while Solana may need to restore confidence to reverse the ongoing outflows.

Ethereum Network TVL Is On the Rise

This trend is also reflected in both chains’ Total Value Locked (TVL). Solana’s TVL peaked at $14.2 billion on January 18 but has been steadily declining since then. In the last four days alone, it dropped from $10.95 billion to $10.5 billion