$ETH Severe conditions are being witnessed in the exchange-traded funds (ETFs) that have absorbed an equivalent of 18 months' supply in just 3 weeks, in addition to purchases stemming from the closure of positions betting on a price decline; all of this has stimulated a significant price breakout.

The $3,500 level has formed a critically important launch point for the price of Ethereum in light of the shift in smart investments towards diversification away from Bitcoin (BTC), contributing to an unprecedented institutional demand.

Exchange-traded funds (ETFs) bought 1,368,980 Ethereum this month, while only 72,513 coins were issued during the same period, which effectively means that these funds have absorbed an 18-month supply in just three weeks.

This supply shock coincides with an increase in the number of speculative short contracts on the Chicago Mercantile Exchange (CME), which reached -13,236 contracts, and the continuous price rises due to purchases have caused the closure of positions betting on a price decline.

Currently, Ethereum is trading at $3,708, having surpassed key resistance levels around the $2,600-$2,700 range and is approaching the $4,000 area, which represents a critically important boundary between the region of relative stability and the area of significant breakout.#CryptoClarityAct #BTCvsETH #BinanceTGEAlayaAI