• Trading around $3,697 after July gains of 54.83% and a recent rise of 25%
• Stabilization in the $3,500-$3,800 range with strong inflows from ETFs ($5.41 billion in July, $2.3 billion last week)
• Institutional buying peaked at 46,553 ETH (July 30-31) with a net positive flow of 13,488 ETH on August 4
• Technical indicators show mixed signals: the Relative Strength Index (RSI) is in overbought territory (73.3%) but the MACD remains positive (accuracy 76%)
Key factors
• Acceleration of institutional adoption: SharpLink Gaming bets on 41,452 ETH; accumulation of ETH worth $183.57 million in two wallets
• Improvement in regulatory clarity: The SEC approved the creation of Bitcoin ETFs in the same currency, and the Senate is discussing reforms in the digital currency space
• On-chain strength: Withdrawing over a million ETH from exchanges indicates strong buying and holding behavior
• Change in supply dynamics: Slowing burn rate with a net increase in supply of 17,333 ETH
Trading impacts
• Critical levels: $3,500 (support), $3,800 (resistance) with a target of $4,000 if a breakout occurs
• The buy/sell ratio indicates ongoing institutional accumulation (23.08-27.27)
• Strategic opportunities: capitalize on the dip to the $3,500-$3,600 range for entry, and monitor ETF flows for trading timing
• Pay attention to the possibility of a correction due to overbought conditions despite strong fundamentals
Market sentiment
• Analyst forecasts range from $8,000-$9,000 based on supply constraints and momentum from ETFs
• Receiving support from celebrity advertisements, which increases public interest
• Concerns remain about the slowing burn rate and regulatory developments in the EU
• Overall sentiment remains strongly positive despite overbought technical indicators
