Ethereum price rises above $4,000 as bulls crush short positions
The value of Ethereum rose above $4,000 today, leading to its largest short squeeze in months - a move celebrated by Eric Trump on X, warning against betting against BTC and ETH.
Ethereum
Source: X
The daily chart showed strong bullish momentum, with the price of Ethereum closing at $4,196 at the time of publication. The Relative Strength Index (RSI) rose above 72, indicating an overbought condition.
Ethereum
Source: TradingView
At the time of writing, the MACD indicator chart is widening, suggesting continued buying pressure.
Market sentiment has shifted decisively bullish, driven by consecutive green candles and increasing whale accumulation.
However, traders should remain cautious of potential pullbacks if profit-taking begins at these high price levels.
ETH supply reached 121 million
The circulating supply of Ethereum has officially surpassed 121 million, a milestone achieved nearly three years after reaching 120 million in August 2022, according to CryptoQuant data.
Ethereum
Source: CryptoQuant
The network is currently minting between 2,500 and 3,000 ETH daily, but staking activity continues to offset part of this issuance, with over 36.18 million ETH locked.
Ethereum
Source: CryptoQuant
Staking withdrawals impact the inflation profile of ETH by mitigating the effects of increased trading.
Although the recent increase in supply challenges the contraction narrative, the overall demand on the network and participation in staking remain key factors in determining whether this expansion will support or affect the price of ETH.
Whale buying intensified with the purchase of $667 million in ETH
Investigators at Lookonchain reported that a mysterious entity has intensified its Ethereum accumulation.
In just two hours, the entity created a new wallet and received 10,396 ETH ($40.6 million) from FalconX.
Ethereum
Source: X
This follows a four-day buying spree during which six new wallets accumulated 171,015 ETH ($667 million) from FalconX, Galaxy Digital, and BitGo.
Aggressive outflows indicate a long-term strategic position rather than short-term speculation.
