Massive 40,000 ETH Daily Outflow Fuels Ethereum’s Push Toward New All-Time High

Ethereum has rebounded from its end-of-July drop, trading just a few levels shy of its all-time high (ATH), as buyers flood its current price level. Amid this notable trend, market observation tools have spotted an interesting on-chain activity: Ether net outflows have skyrocketed in the past month. This data suggests that crypto participants may be positioning for potential profit-taking.

About 1.2M ETH Pulled from Exchanges Amid Price Surge

CryptoQuant contributor Burakkesmeci recently revealed that over 1.2 million Ether have left exchanges within the last 30 days. During this period, Ethereum surged nearly 60%, breaking strongly above the $4,000 mark, trailing its ATH by just 3%. This northward push coincides with the increased institutional adoption witnessed by the asset. 

Burakkesmeci asserted that Ether’s upward momentum could continue, pointing to key ETH price movements. The CryptoQuant contributor also drew attention to Ethereum’s All Exchanges Netflow metric, which measures the total Ether flow across all exchanges. 

According to data, Ethereum’s 30-day Simple Moving Average (SMA30) has crashed into the negative zone. For clarity, the SMA30 refers to Ether’s average daily net flows, accessed across 30 days. With each passing day, the trend indicator is updated to the most recent 30-day timeframe, with old data points making way for new ones.

Massive Daily Outflows Push Ether Near Record High

On August 12, the ETH SMA30 was pegged at a negative figure of -40,000 ETH. Generally, such large outflows signal that holders are shifting their ETH stashes away from exchanges. Most times, these coins are moved to cold storage, likely in anticipation of future value appreciation.

Burakkesmeci also highlighted the growth in Ether spot ETFs as a potential driver in the Ethereum price. As spotted by SoSoValue, spot ETH ETFs posted capital inflows exceeding $1.5 billion during the weekend ending on August 12.

Starting May 16, Ethereum investment vehicles attracted over $8 billion, an almost three-month period of positive investment scores. The total net assets held by these investment vehicles are pegged at $27.6 billion, which is about 4.7% of Ether’s total market cap.

ETH Upswing Poised to Continue

Burakkesmeci maintained the upward trend could likely persist, assuming Ether’s SMA30 continues swimming in the negative zone. According to him, the uptrend will only stop when the trend moves into positive territory.

At the time of writing, Ethereum is exchanging hands at $4,700, fueled by recent institutional attention and whale movements. 

Here are other key on-chain Ether trends spotted by CoinCodex:

• Ether (ETH) price prediction sentiment is currently bullish.
• The coin is showing a Fear & Greed Index of 75, indicating greed.
• Ether is up 67% over the past year.
• Ethereum has outperformed 66% of the top 100 cryptocurrencies in the last year.
• The coin is trading above the 200-day simple moving average with 20 green days in the past month.
• Ethereum is trading near its cycle high of $4,783.77 and has high market liquidity. 

Market expert Ali Martinez noted that whale activities have also touched a monthly high, reinforcing ETH’s position as a top market asset. With the ETH ETFs continuing to attract inflows and the US 401(k)s now allowed to incorporate digital assets, experts are predicting the asset to touch a new all-time high soon.