Ethereum News Today: Ethereum Price Rises 39% as Whales Pump $2.77 Billion Into Off-Exchange Wallets

Ethereum’s price surged close to $3,900 in July as large investors, or "whales," intensified their accumulation, signaling bullish sentiment in the crypto market. On-chain data reveals that these whales spent $2.77 billion to acquire 722,152 ETH through newly created off-exchange wallets, while total exchange outflows reached $1.73 billion during the same period. This movement aligns with Ethereum’s 39% price increase from $2,800 to $3,900, driven by reduced circulating supply and a strategic shift among investors to hold assets in private wallets rather than on exchanges.

The accumulation activity was particularly pronounced in the second half of July, with a single eight-hour period seeing three newly created wallets purchase $283 million worth of ETH. These wallets are unaffiliated with major exchanges or institutions, suggesting a deliberate and coordinated effort to build long-term positions. The trend was further supported by daily outflows exceeding $100 million on multiple occasions, with sharp spikes recorded on July 22 and July 30.

On-chain metrics highlight strong investor confidence in Ethereum. According to IntoTheBlock, 91% of ETH holders are currently in profit, with 75% holding the asset for more than a year. Only 5% of holders are at a loss, and selling pressure appears to be minimal. The shift toward long-term holding, combined with the steady removal of tokens from exchanges, suggests a growing belief in Ethereum’s value as a foundational digital asset.

The broader financial environment also played a role in the price surge. Easing global financial conditions lowered borrowing costs and increased risk appetite, supporting capital inflows into crypto. Ethereum’s market dominance rose to 12%, reflecting its increasing prominence in the digital economy. Meanwhile, the total value locked (TVL) in decentralized finance (DeFi) increased by 0.71% to $141.234 billion, indicating a return of liquidity to Ethereum-based protocols [1][3].

Despite the positive signals, analysts caution that whale accumulation does not guarantee continued price gains. External factors, including macroeconomic developments and regulatory shifts, could influence market dynamics. However, the sustained buying activity by large holders, combined with institutional interest and the potential for clearer regulatory frameworks in the U.S., has bolstered optimism for Ethereum’s future.

As the market moves forward, investors will remain attentive to interest rate policies, particularly those of the U.S. Federal Reserve, which is expected to maintain a dovish stance in the near term. While volatility remains a key characteristic of the crypto sector, the recent accumulation trends and on-chain data point to a more resilient and bullish Ethereum ecosystem [3].

Source: [1] Bitcoin Whales' Astounding Accumulation: A Bullish Signal? (https://www.bitget.com/news/detail/12560604888245)

[2] The Bank of Japan (BOJ) unanimously held interest rates ... (https://www.mitrade.com/insights/news/live-news/article-3-1000841-20250731)

[3] Crypto Market Sees Significant Recovery Led By Bitcoin ... (https://blockchainreporter.net/crypto-market-sees-significant-recovery-led-by-bitcoin-amid-greed-fueled-sentiment/)