Ethereum ETFs saw a net outflow of $70.62 million on Friday, ending a five-day streak of positive inflows that had totaled $211.25 million. Despite this Friday pullback, the total inflows for the week still added up to $103.9 million, marking the third consecutive week of weekly gains. So far in July, Ethereum ETFs have attracted $337.74 million.
The drop came as Ethereum’s price settled near $1,837, down from last year’s peak of nearly $4,946 and bouncing back from a June low around $1,400. Ethereum is currently trading about 17% below its average on-chain cost basis of $2,304, a level where sellers often feel pressured to exit, suggesting some exhaustion in selling pressure.
Bitcoin ETFs experienced a similar pattern, with $240 million flowing out on Friday after a seven-day inflow run. Bitcoin itself dipped below $64,000, retreating from an intraday high near $67,000 earlier in the week.
Analyst Ted (@TedPillows) pointed out that Ethereum remains above key support zones and is outperforming Bitcoin, implying the rally might still have room to run.
On-chain metrics paint a nuanced picture. The ETH/BTC ratio dropped to 0.028, its lowest since August last year, a historical sign often preceding strong altcoin seasons. However, the ETH/BTC MVRV ratio fell from 0.95 last August to roughly 0.65, but hasn't yet hit the 0.45 threshold that historically signals a solid market bottom.
Ethereum now tests its 20- and 50-day exponential moving averages at around $1,830. Holding above these averages is key for maintaining upward momentum. CryptoQuant's recent report suggests early signs of a bottom but warns that confirmation from several indicators is still missing.
ETF inflows and outflows remain key to watch along with on-chain signals to gauge Ethereum’s next moves. Meanwhile, Bitcoin and Ethereum continue to show intertwined price dynamics, reflecting broader market shifts.
This material is informational and not investment advice.
