$ETH
đ Why Ethereum Is Reacting Positively
1. Robust ETF & Fund Inflows
U.S. spot ETH ETFs have attracted $815âŻM in the past 20 days, pushing net inflows since January to +$658âŻM .
Four consecutive weeks of ETF inflows totaling ~$857âŻM recently show growing institutional demand .
2. Successful âPectraâ Upgrade
The Pectra upgrade, executed on MayâŻ7, introduced key improvements like increased staking limits and enhanced wallet functionality.
Market responded with a 20% surge, marking ETHâs strongest daily gain since 2021 .
3. Bullish On-Chain Indicators
Low MVRV ratio suggests ETH is currently undervalued relative to its long-term on-chain valueâthis has preceded major rebounds historically .
A sharp drop in exchange reserves (~1M ETH removed) alongside continued whale accumulation supports upward pressure .
4. Technicals & Network Metrics
Price found support near Binance deposit cohortâs realized cost (~$2,392), rebounding above $2,500âsignaling strong technical support .
Rising futures open interest and a bullish ETH/BTC ratio highlight renewed trader confidence .
5. Macro & Sentiment Tailwinds
Broader risk-on sentiment, helped by easing U.S.âChina trade tensions, has boosted both equities and crypto .
Ethereumâs shift toward real-world usageâwith backing from institutions like Visa, Mastercard, Coinbase, and Robinhoodâadds medium-term strength .
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đ Bottom Line
Ethereum is seeing a strong positive reaction driven by major protocol enhancements, institutional ETF inflows, on-chain accumulation, and improving technical setup. While macro factors and global markets also support risk assets, the core driver remains Ethereumâs internal progress and its increasing role in DeFi and broader finance.
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đ What to Watch Next
Catalyst Impact
Continued ETF inflows More buying pressure and institutional adoption
On-chain metrics (MVRV, reserves) Confirm momentum and accumulation trends
Broader adoption via wallet & DeFi usage Validates long-term fundamental growth
