Ethereum News Today: Ethereum on-chain activity surges as whale purchases and institutional buying drive 5.17% price gain

Ethereum’s on-chain activity has experienced a notable surge driven by fresh capital inflows from new buyers, coinciding with aggressive accumulation by long-term holders. Since July 20, 2024, transaction volumes have approached levels last seen in May 2021, reflecting heightened participation in the Ethereum network. This increase underscores robust demand for ETH despite its price remaining below $4,000, signaling a shift in market dynamics as both retail and institutional investors solidify their positions [1].

The surge in activity is attributed to a combination of factors, including a $114 million Ethereum whale purchase of 30,366 ETH and sustained interest from large funds. On-chain transfer amounts in USD have surpassed previous peaks recorded in December 2024, indicating active participation by institutional players and a growing liquidity base. Analysts attribute this trend to Ethereum’s evolving ecosystem, with blockchain strategist Murphy noting that long-term holders are maintaining their positions despite price consolidation, demonstrating confidence in future value appreciation [1].

Long-term holder behavior has become a critical driver of market stability. Over a two-week period, accumulator wallets added more than 1.13 million ETH, reinforcing a coordinated effort to build long-term positions. Minimal profit-taking by sellers suggests holders are prioritizing accumulation over short-term gains, aligning with broader bullish sentiment. Ethereum 2.0 staking data further highlights this trend, with nearly 700,000 ETH queued for withdrawal—a sign of transitioning ownership from early adopters to newer institutional participants. While this could temporarily increase supply, sustained demand from new buyers is expected to offset any excess, maintaining equilibrium in the market [1].

Technical indicators reinforce the optimism. Ethereum’s price rose to $3,758.90 in July 2025, reflecting a 5.17% weekly gain and daily trading volume of $36.6 billion. Positive cumulative money flow (CMF) and a bullish MACD suggest sustained momentum, with analysts forecasting a potential rally toward $4,200 as key support levels are breached [1]. Retail investor engagement has also accelerated, with major exchanges reporting record trading volumes. This surge is attributed to renewed interest in Ethereum’s foundational role in decentralized finance (DeFi) and the Ethereum Name Service (ENS), which has driven broader adoption [1].

The convergence of whale activity, retail inflows, and technical strength paints a resilient market outlook. While short-term volatility remains a factor, the data underscores a clear shift in sentiment. Institutional accumulation, exemplified by BitMine’s $2 billion ETH purchase over 16 days, has reduced circulating supply and positioned the company as a major Ethereum treasury, further stabilizing the price. Analysts caution that macroeconomic conditions and regulatory developments could influence momentum, but the current trajectory highlights Ethereum’s growing appeal as a long-term asset [1].

The market’s evolving dynamics reflect a maturing ecosystem, with long-term holders playing a pivotal role in sustaining price resilience. As on-chain activity continues to outpace historical benchmarks, Ethereum’s network effect appears to be strengthening, supported by both foundational upgrades and strategic capital inflows.

Sources:

[1] [title1] [url1]