Ethereum Up 12% In a Week, but Derivatives Data Suggests Caution
Ethereum is trading above $1,700, reflecting a 12.2% increase over the past week, but remains 63% below its all-time high of $4,878 from 2021. Recent on-chain data indicates a significant surge in ETH inflows to derivative exchanges, suggesting increased speculative activity and potential volatility. Notably, over 80,000 ETH was sent to these exchanges in the past 48 hours. This trend coincided with a political statement from US President Donald Trump regarding the Federal Reserve, which may have provided macro stability to the crypto market. Additionally, Bitcoin markets experienced a large transfer of over $600 million from whale wallets to exchanges, indicating potential tactical shifts that could impact Ethereum. The combination of long positions and increased exchange supply may lead to heightened volatility for both BTC and ETH in the near term.
