Ethereum News Today: Ethereum Rally Drives 97% of Addresses to Profit as Short-Term Holders Fuel Momentum

Ethereum’s recent price rally has triggered a notable profit surge across its holder base, with 97% of addresses currently in the green. This suggests a strong market environment and hints at potential for further price expansion. The surge has been primarily driven by short-term holders, who are capitalizing on Ethereum’s upward momentum without showing signs of market exhaustion. Realized profits, measured by the 7-day simple moving average, reached $771 million per day in July—a level not seen since December 2024 [1].

Data from on-chain analytics firm Glassnode indicates that short-term traders are playing a key role in the current price strength, with active trading contributing to the profit realization. This trend signals that the rally is being fueled by consistent buying pressure and strategic position-taking, rather than speculative bubbles [1]. The market remains in a bullish phase, as reflected by the high proportion of profitable addresses and the accumulation activity observed among Ethereum whale holders, whose positions have hit a 12-month high [1].

The U.S. Securities and Exchange Commission’s (SEC) recent guidance on staking products has also contributed to Ethereum’s appeal, helping to normalize institutional participation and boost network activity. As a result, staking activity has reached record levels, adding another layer of demand to the ecosystem [1]. Meanwhile, Ethereum’s market dominance has risen, with its 12.54% share of the total crypto market cap reaching $4.11 trillion during the recent surge [1].

Layer-2 scaling solutions are also benefiting from Ethereum’s upward trend, as increased base-layer activity fuels demand for off-chain scalability. Polygon (MATIC) has gained 6% in the past week, while StarkNet (STRK) is preparing for a major upgrade on August 18. However, market participants are closely watching StarkNet ahead of a token unlock on August 15, which could introduce short-term volatility as 127 million STRK tokens become tradable [1].

Analysts have pointed to regulatory clarity and rising institutional adoption as two of the most significant factors supporting Ethereum’s long-term fundamentals. While short-term price fluctuations are expected, the mid-term outlook remains bullish. The ongoing shift toward Ethereum-compatible infrastructure and the rise in blockchain activity are reinforcing the network’s position as a leading smart contract platform [1].

Source: [1] ETH Smashes $4K — Polygon and StarkNet Join Scaling Race to Capture Market Share (https://coinmarketcap.com/community/articles/689a88a81f3a5b4dc5e17f9b/)