- Ethereum ETFs break inflows streak with over $39 million in net outflows.
- BlackRock's crypto ETF on-chain holdings have overtaken those of Grayscale ETFs.
- Donald Trump holds over $2 million in Ethereum, per Arkham Intelligence.
- Ethereum could strengthen bearish momentum if its price breaks below the lower rising trendline of an ascending triangle.
Ethereum (ETH) is up more than 2% on Friday as ETH ETFs broke their three-day inflow streak with over $39 million in outflows. Meanwhile, ETH's potential rally is hindered by a key trendline that follows a three-year symmetry triangle.
Daily digest market movers: Ethereum ETF outflows, BlackRock surpasses Grayscale, Trump ETH holdings
Ethereum ETFs ended their three-day net inflows streak on Thursday after recording net outflows of $39.2 million, according to Farside Investors data. The outflows were characterized by an exodus of $42.5 million in Grayscale's ETHE and minor to zero flows in other products.
Following the flows across ETH ETFs, Arkham Intelligence reported in an X post on Friday that BlackRock's on-chain holdings across its Bitcoin and Ethereum ETFs, IBIT and ETHA, have surpassed that of Grayscale's GBTC, BTC Mini, ETHE and ETH Mini.
BLACKROCK ETF HOLDINGS OVERTAKE GRAYSCALE FOR THE FIRST TIME
— Arkham (@ArkhamIntel) August 16, 2024
BlackRock’s ETFs IBIT and ETHA have just overtaken Grayscale’s ETFs GBTC, BTC Mini, ETHE and ETH Mini in on-chain holdings.
Blackrock ETFs now have the largest collective holdings of any provider.
BlackRock ETF… pic.twitter.com/PB41LEGc97
Meanwhile, Nasdaq ISE, LLC withdrew its proposal to trade options on Ethereum ETFs on August 13, according to a Thursday filing on the Securities & Exchange Commission's (SEC) website.
Additionally, data from Arkham Intelligence reveals that Republican presidential candidate Donald Trump holds $3.6 million in cryptocurrency, including $1.29 million worth of Ethereum and $986,000 worth of Wrapped Ethereum. This brings his combined Ethereum holdings to over $2 million.
Donald Trump has made several pro-crypto moves in the past months in hopes of winning crypto-centric voters' support as the US presidential election draws closer.
While the holdings may indicate the former President's positive stance toward crypto, it's important to note that the cryptocurrencies may have come from the sale of his NFT collection as opposed to direct investment.
ETH technical analysis: Ethereum's next move is dependent on key triangles
Ethereum is trading around $2,610 on Friday, up more than 2% on the day. The price decline triggered over $72 million in ETH liquidations, with long and short liquidations accounting for $63.4 and $8.9 million, respectively.
Since the market decline on August 5, ETH has been consolidating due to a descending trendline that has constantly prevented any attempt upward. The trendline suggests ETH could decline toward the $2,000 to $2,200 range in the coming weeks before staging a fresh rally.
ETH/USDT Daily chart
As indicated by key descending trendlines in the chart above, ETH posted a similar move from August 2022 to November 2022 and July 2023 to October 2023 before eventually seeing a rally.
A successful completion of this move could see ETH attempt a move toward the upper trendline of a three-year symmetry triangle.
On the 4-hour chart, ETH is attempting to breach a rising lower trendline of an ascending triangle. Such a move will give strength to the bearish momentum.
ETH/USDT 4-hour chart
However, a successful move above the horizontal line of the triangle could signal a bullish reversal. Such a move will see ETH rally toward the resistance around $3,230. If ETH breaks above this resistance, it could attempt to tackle the upper trendline of the three-year symmetry triangle.
A daily candlestick close below the lower trendline of the symmetry triangle could trigger a heavy correction for ETH.
Ethereum FAQs
Ethereum is a decentralized open-source blockchain with smart contracts functionality. Serving as the basal network for the Ether (ETH) cryptocurrency, it is the second largest crypto and largest altcoin by market capitalization. The Ethereum network is tailored for scalability, programmability, security, and decentralization, attributes that make it popular among developers.
Ethereum uses decentralized blockchain technology, where developers can build and deploy applications that are independent of the central authority. To make this easier, the network has a programming language in place, which helps users create self-executing smart contracts. A smart contract is basically a code that can be verified and allows inter-user transactions.
Staking is a process where investors grow their portfolios by locking their assets for a specified duration instead of selling them. It is used by most blockchains, especially the ones that employ Proof-of-Stake (PoS) mechanism, with users earning rewards as an incentive for committing their tokens. For most long-term cryptocurrency holders, staking is a strategy to make passive income from your assets, putting them to work in exchange for reward generation.
Ethereum transitioned from a Proof-of-Work (PoW) to a Proof-of-Stake (PoS) mechanism in an event christened “The Merge.” The transformation came as the network wanted to achieve more security, cut down on energy consumption by 99.95%, and execute new scaling solutions with a possible threshold of 100,000 transactions per second. With PoS, there are less entry barriers for miners considering the reduced energy demands.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.