Ethereum Updates: Ethereum ETFs See Outflows While On-Chain Vaults Indicate a Potential Bullish Turnaround

Ethereum’s recent price movements have sparked renewed optimism among investors, as the cryptocurrency hovers near crucial support levels that echo previous bull market surges. After dipping to $3,957 at the end of October, Ether (ETH) appears to be stabilizing, with both on-chain metrics and technical signals pointing toward a possible recovery. Market observers are noting the emergence of a “triple bottom” formation in the $3,750–$3,800 zone, a well-known reversal indicator that could drive ETH up to $4,280 if buyers successfully defend this area, according to a

. The strength of this pattern depends on ETH’s ability to break and hold above $4,000, a level that has often served as a springboard to higher prices in the past.

Wider market dynamics are also shaping Ethereum’s short-term outlook. While

ETFs saw $20.33 million in new investments during the week of October 23, as reported by , ETFs experienced outflows totaling $127.51 million, indicating a shift of funds toward Bitcoin. Despite this, Ethereum’s on-chain data presents a contrasting picture. Major investors are increasing their ETH holdings, with Glassnode data revealing more inflows into long-term wallets. This contrast between ETF movements and on-chain accumulation highlights rising that Ethereum may surpass Bitcoin’s performance in the months ahead.

Historical comparisons are adding fuel to the bullish sentiment. Ethereum’s current price pattern closely resembles Bitcoin’s rally following the 2024 halving, with both assets experiencing summer lows followed by strong recoveries, according to a

. Analysts such as Kamran Asghar have pointed out these similarities, predicting that ETH could climb to $7,000–$8,000 by December—representing a 75–100% gain from current prices. Activity from large holders supports this outlook: Richard Heart, a notable Ethereum whale, transferred $61.15 million worth of ETH to Tornado Cash this week, which Bravenewcoin interprets as a strategic move rather than a panic sale.

Technical indicators suggest a cautiously positive trend. Short-term traders are focusing on the $5,900 mark as a significant resistance point, with the 0.5 Fibonacci retracement and the 50-day EMA acting as important support levels, as also noted by Bravenewcoin. On the weekly chart, Ethereum has managed to close above major resistance, keeping the bullish momentum alive despite recent fluctuations. To maintain this upward trend, ETH must remain above its purple trendline and key RSI levels. If the price falls below $3,750, bearish sentiment could return, but most experts believe the triple bottom increases the probability of a bounce.

The next few weeks are expected to be crucial for Ethereum. With Bitcoin ETFs showing stability and Ethereum’s fundamentals strengthening, conditions appear favorable for a potential breakout. Investors should keep an eye on ETF flows, large holder activity, and on-chain data as the market approaches important price thresholds. Should historical trends persist and institutional interest continue to rise, a retest of $3,000 for Ethereum could signal the start of a significant rally toward new record highs.