Ethereum News Today: Ethereum Nears All-Time High on Strong Futures Interest and Institutional Inflows

Ethereum is approaching its all-time high as bullish sentiment intensifies among traders and prediction markets. The cryptocurrency currently trades at around $4,670, just 4.4% away from its previous peak of $4,891 set during the 2021 bull market. Polymarket users have assigned a 76% probability that Ethereum will break this level before August 31, reflecting strong confidence in a near-term breakout [1].

This optimism is fueled by several factors, including record futures open interest and significant institutional involvement. Glassnode data shows Ethereum futures open interest has reached an all-time high of approximately $35.5 billion, indicating concentrated leverage and positioning that could lead to sharp price swings. Recent price action supports this view: ETH has gained 9.5% in the last 24 hours, 29% over the past week, and 52.6% on a monthly basis [1].

The market has also seen substantial short liquidation activity. On August 12, Ethereum’s price pushed short sellers to lose $66 million in liquidations, marking the second-largest such event in 2025. Analyst Max Crypto has warned that if Ethereum surmounts $4,891, approximately $1.3 billion in short positions could face liquidation, potentially triggering a forced buying cascade that accelerates the upward move [1].

Comparisons to Bitcoin’s 2020 performance have emerged as well. Analyst Ted has drawn parallels between Ethereum’s current positioning and Bitcoin’s setup before its breakout to $19,000. If Ethereum follows a similar trajectory, it could see a 3x move in the coming months. Institutional inflows are reinforcing this bullish narrative, with billions flowing into Ethereum spot ETFs and continued adoption reflected in record transaction volumes [1][5].

Options market data further highlights the bullish sentiment. Call options, especially around the $4,000 strike price, have seen aggressive buying, with open interest and funding rates surpassing previous highs. This speculative activity suggests traders are preparing for a sharp price move, particularly as large block trades and call spreads are executed on major platforms like Deribit [6].

Despite the strong momentum, profit-taking has begun to show. Daily profit realizations for Ethereum have reached approximately $553 million, with short-term traders locking in gains amid the volatility. Long-term holders, however, remain relatively passive, indicating broader market confidence in the asset’s trajectory [7].

Macroeconomic conditions also play a role in the bullish setup. The likelihood of a September Federal Reserve rate cut has increased to 89% following weak July jobs data, supporting risk-on assets like Ethereum. However, upcoming inflation reports—CPI and PPI—could introduce new volatility in the short term [6].

Options data shows a high put/call ratio for Ethereum across key expirations, suggesting some hedging against potential pullbacks. Nevertheless, implied volatility remains at 75%, a relatively moderate level historically, indicating the market has not yet reached overbought conditions. This provides room for further upward movement without triggering a correction [6].

Institutional developments continue to shape Ethereum’s path. The approval of spot ETFs and the introduction of 401(k) crypto investment options are opening new avenues for adoption. With over $9 trillion in U.S. retirement funds potentially exploring crypto allocations, Ethereum’s role as a leading risk-on asset could solidify [6].

All signs point to a critical juncture for Ethereum. A sustained move above $4,891 could redefine the long-term narrative for the asset and potentially mark the beginning of a new bull cycle. As market participants watch the August 31 deadline, the interplay between leverage, positioning, and institutional inflows will likely dictate the next chapter for ETH.

Sources:

[1] Coin – [https://coinedition.com/ethereum-nears-ath-as-traders-eye-record-high-by-august-31/](https://coinedition.com/ethereum-nears-ath-as-traders-eye-record-high-by-august-31/)

[2] Coinpedia – [https://coinpedia.org/price-analysis/will-ethereum-price-hit-ath-in-the-next-24-hours/](https://coinpedia.org/price-analysis/will-ethereum-price-hit-ath-in-the-next-24-hours/)

[3] Mitrade – [https://www.mitrade.com/au/insights/news/live-news/article-3-1035985-20250813](https://www.mitrade.com/au/insights/news/live-news/article-3-1035985-20250813)

[4] Amberdata – [https://blog.amberdata.io/ethereum-outperforms-while-markets-prepare-for-cpi-shock](https://blog.amberdata.io/ethereum-outperforms-while-markets-prepare-for-cpi-shock)

[5] 99Bitcoins – [https://99bitcoins.com/news/altcoins/1-billion-day-ethereum-etfs-hit-inflow-milestone-who-called-it/](https://99bitcoins.com/news/altcoins/1-billion-day-ethereum-etfs-hit-inflow-milestone-who-called-it/)

[6] CoinGlass – [https://www.coinglass.com/ru/news/532623](https://www.coinglass.com/ru/news/532623)

[7] Reddit – [https://www.reddit.com/r/ethtrader/comments/1mnyzrl/ether_profit_taking_on_the_rise_as_eth_tiptoes/](https://www.reddit.com/r/ethtrader/comments/1mnyzrl/ether_profit_taking_on_the_rise_as_eth_tiptoes/)