Ethereum Nears $4K as ETF Inflows Hit Record Highs

ETF Inflows Push Ethereum to Multi-Month Highs

Ethereum hit $3,830 on Monday, July 21, marking its highest level since mid-December 2024.

Demand for this key cryptocurrency got a boost from stronger capital flows into US spot Ethereum ETFs as well as overhyped sentiment around corporate crypto reserves.

Such ETFs attracted over $2 bn last week, a record high and the longest streak of positive inflows – 11 consecutive days – fueling a price rally.

Corporate Crypto Reserves Fuel ETH Demand

Launched last summer, Ethereum-based ETFs have recorded cumulative inflows of $7.49 bn, with the total assets under management currently surpassing $18 bn.

The spike in interest stems largely from public companies using ETH for treasury strategies, alongside robust inflows into exchange-traded funds at large.

The trend mirrors this year’s dynamics in precious metals, with gold (Bitcoin in this case) shooting up first, followed by silver (Ethereum).

Recently, several public companies have adopted Ethereum accumulation strategies, much like they did with Bitcoin.

Can Ethereum Break the $4K Resistance?

Technically, Ethereum has yet to achieve its next target of around $4,000 where the nearest YTD resistance level sits.

Some market participants believe a breakout above $4,000 could trigger liquidations of short positions worth over $330 mn, potentially driving prices higher in the short term.

For the time being, a local correction is underway to ease built-up overbuying, with immediate support for ETH at $3,500.