Ethereum Rips 29% as Spot ETF Demand Hits Post-Launch Highs

Ethereum has surged to a four-month high of $2,430, driven by the largest influx of capital into US spot ETFs since October. While massive whale withdrawals from Binance suggest long-term accumulation, market participants remain divided on the sustainability of this 29% weekly gain.
Ethereum Rips 29% as Spot ETF Demand Hits Post-Launch Highs

Ethereum (ETH) has reclaimed the $2,430 level, marking its strongest performance in four months and a 29% gain over the last seven days. This momentum is largely attributed to institutional appetite, as US-listed spot Ethereum ETFs just recorded their highest net inflows since their October debut, signaling a significant shift in TradFi sentiment toward the leading smart-contract platform.

On-chain data highlights a massive exodus of ETH from Binance, with whales shifting assets into private custody. This trend typically indicates a reduction in sell-side pressure and a growing conviction among high-net-worth players to hold for the long term. However, the market remains divided; while some whales are aggressively accumulating, others appear to be rotating capital, creating a tug-of-war at the crucial $2,400 resistance zone.

From a regulatory standpoint, the sustained success of these ETFs reinforces Ethereum's legitimacy within the US financial framework, even as the SEC's stance on staking rewards continues to be a point of contention for future product iterations. For traders, the immediate focus is on whether ETH can flip $2,500 into firm support. Investors should closely monitor ETF flow consistency and exchange reserve data to determine if this rally has the fundamental backing to retest yearly highs.