Recently, Ethereum ETFs have been showing remarkable performance, attracting a substantial amount of capital. The consistent increase in netflows indicates a growing acceptance and confidence from investors. However, Ethereum is facing challenges in surpassing the $4,000 mark.
New Milestone for Ethereum ETFs
According to a recent tweet by Lookonchain, nine Ethereum ETFs have significantly increased their ETH holdings over the last month, accumulating a total of 362,474 ETH valued at over $1.42 billion.
This surge marks a remarkable 4,363% increment compared to the previous month when only 8,121 ETH, valued at $31.8 million, were added.
Another positive development is the sharp rise in ETH ETF inflows. Recent data from Coinglass reveals that netflows for ETH ETFs have been consistently climbing, reaching a record $428.5 million on December 5th.
Grayscale ETF leads the market share with a hefty 47%, as reported by Dune Analytics. Following closely are Grayscale Mini and BlackRock with 13% and 12% respectively. Grayscale’s holdings have surged to $5.8 billion, while BlackRock’s holdings stand at $2.9 billion.
Ethereum’s Ongoing Struggle
Despite the remarkable performance of Ethereum ETFs, ETH continues to face resistance near the $4,000 level. Currently, the top altcoin is trading at $3,912.25, showing a modest 1.3% price increase over the last 24 hours.
While encountering hurdles breaking through this level, the Ethereum Rainbow Chart advises investors to exercise patience. The chart indicates that ETH’s price is within the holding zone, suggesting a high probability of an upward trend in the near future.
Other indicators also support the possibility of an uptrend. Glassnode’s data reveals a decline in Ethereum’s NVT ratio, typically signaling undervaluation and a potential price surge. Additionally, the Relative Strength Index (RSI) is on the rise, indicating increased buying activity, which often results in price upticks.
The Chaikin Money Flow (CMF) is also showing a similar upward trajectory.
If ETH manages to approach the $4,000 resistance level once again with strong buying momentum, it is reasonable to anticipate a scenario where the token shifts the $4,000 resistance to a new support level in the upcoming days.