Exchange reserves decline as whales accumulate Ethereum.
Short-term investor activity declines and deeply negative MVRV marks a long-term accumulation phase.
Ethereum [ETH] is making a strong comeback as total value locked (TVL) has surpassed 53%, the highest level since March.
This dominance aligns with whale movements, including 23,844 ETH transferred to Coinbase Institutional and 58,430 ETH moving between unidentified wallets.
These large transactions indicate growing interest and accumulation from institutions. At the time of reporting, ETH was trading at $2,362.31, up 2.62% in the past 24 hours.
Is supply pressure gradually decreasing?
Ethereum reserves on exchanges decreased by 1.1% in the past 24 hours to 19.25 million ETH, while net outflows decreased by 8.26%, indicating a net outflow of 213,232 ETH.
These outflows indicate that more coins are being moved into private custody, reducing immediate selling pressure on centralized exchanges.
This implies that investors are moving ETH into private custody. When money leaves exchanges, selling pressure often decreases, facilitating price stability or even an upward trend.
Source: CryptoQuant
Long/short MVRV difference
Ethereum's long/short MVRV dropped to -40.91%, one of the lowest levels in recent months. History shows that such deep negative levels often occur during accumulation or the first recovery cycle.
Therefore, this may signal strategic opportunities for new capital entering the market. However, sustainable recovery will depend on whether investor confidence can be maintained at higher price levels.
Source: Santiment
A sharp decline in new investor activity
The HODL Wave 0d–1d dropped to 0.114, indicating a decline in short-term speculative activity. Fewer coins have been moved recently, showing that current holders primarily rely on conviction rather than being swing traders.
While this reduces short-term volatility, it may also limit immediate buying momentum unless broader interest is revived.
Source: Santiment
Only 42.75% of total ETH fees were burned in the past seven days, down from the previous 90-day average of 35.03%.
This decrease in the burn rate indicates weaker on-chain trading demand, alleviating the current scarcity of Ethereum.
Although a lower burn rate reduces scarcity effects, continuous network usage still supports Ethereum's broader utility case.
We must wait to see if upcoming DeFi activity can reignite the burn rate in the coming weeks.
Has Ethereum reversed its bearish structure yet?
Ethereum recently broke through a long-standing descending resistance, confirming a strong trend reversal.
Subsequently, the price surged to $2,365. The RSI reached 81.90, indicating that the asset is overbought in the short term.
However, momentum remains strong. If the price holds above $1,761.30, the path to $2,526.54 remains open.
Source: TradingView
Conclusion
The increase in TVL, the decline in exchange reserves, and the confirmed breakout structure all indicate a shift in Ethereum's market dynamics.
Although the burn fee rate is softer and short-term activity is declining, other on-chain metrics indicate growing institutional interest and strong accumulation.
Based on these factors, Ethereum seems to be entering the early stages of a significant rally, potentially driven by strategic adjustments and new capital flows.
Source: https://tintucbitcoin.com/tvl-ethereum-vuot-53-dau-hieu-dot-pha-eth/
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