Ethereum Rally Loses Steam Amid Weaker ETF Demand
Ethereum's recent price rally has begun to lose momentum as weaker demand for ETFs and broader market pressure weigh on ETH prices. Spot Ethereum ETF inflows have cooled significantly since reaching $234.5 million on August 27, their largest single-day inflow of the year. Inflows declined to $102.2 million two days later before falling further to $87.7 million on August 31.
ETF trading activity has also weakened, with volume dropping from $1.37 billion on August 28 to $742 million by month-end. Institutional demand indicators have softened elsewhere, including the Ethereum's Coinbase Premium Index, which briefly turned positive in late August for the first time since May but has since slipped back below zero to around -0.014.
Large Ethereum holders are also creating potential selling pressure after Lookonchain reported that one whale received 167,855 ETH worth approximately $408 million before transferring funds to exchanges. The wallet moved 70,739 ETH, valued at about $174 million, while retaining 97,115 ETH worth roughly $237 million.