Ethereum Surges 37% Above Realized Price, Indicating Strong Investor Confidence

Ethereum has recently surpassed a significant price threshold, with its market value exceeding its realized price. This development indicates a shift in sentiment among long-term holders, who are now in profit. The realized price, which is the average price at which all ETH in circulation was last moved, currently stands at $1,900. This milestone suggests that the average ETH holder, particularly those in accumulation addresses, is experiencing gains.

This price movement is a strong indicator of long-term investor confidence. Historically, when the price of Ethereum climbs above its realized value, it correlates with stronger conviction among holders and a shift in trader psychology. The chart reveals that accumulating wallets began acquiring ETH below $1,900, and current prices confirm those positions. This threshold flip often signals renewed capital inflows, especially from institutions and swing traders aiming to capitalize on momentum. Since this breakout occurs despite weak retail participation, it suggests that larger investors are driving the move. Additionally, it reinforces that ETH’s rally is backed by strategic accumulation, rather than pure speculation.

Binance has emerged as the leading platform for ETH trading, recording the highest transaction volume among all exchanges. The exchange has seen outflows notably outpacing inflows during the price rise, indicating that users are realizing gains as the price recovers above their average entry. This dynamic shows strategic rebalancing on a platform known for high liquidity. An example of this is Abraxas Capital’s recent aggressive accumulation of ETH via Binance.

Ethereum’s price surge to $2,600 aligns with the launch of the Pectra upgrade, which has likely added momentum to the recent bullish wave. However, technical indicators suggest a short-term cooldown may follow. The Relative Strength Index (RSI) has breached the overbought threshold, now sitting above 80 – a level historically associated with pullbacks. Meanwhile, the Moving Average Convergence Divergence (MACD) supports upward momentum, suggesting any correction could be brief or shallow. With ETH trading at $2,518 at press time, the market structure remains bullish, but the next 24-48 hours could bring consolidation as traders digest both the rally and the upgrade news.