Ethereum Rally Slows as Profit-Taking Gains Momentum Amid Institutional Demand

Ethereum's recent price surge has slowed down as profit-taking gains momentum. The cryptocurrency's spot ETFs in the US attracted $234.51 million on Thursday, marking the ninth consecutive day of net inflows. This influx of funds is a testament to the sustained institutional demand for Ethereum exposure.

The move above investors' realized price at $2,306 may have unlocked selling pressure from holders who were previously underwater and are now taking modest gains. The development aligns with earlier signs of increased exchange inflows after Ethereum recovered above this range.

On-chain profitability data also points to increased profit-taking. Ethereum's Spent Output Profit Ratio (SOPR) has remained above 1 over the past week, indicating that ETH moved on-chain during the period was sold at a profit.