Large Ethereum Transference to New Wallet, Amounting to $285 Million, Routes Funds towards Coinbase Staking Operations
Ethereum, the second-largest cryptocurrency by market capitalisation, has been on a remarkable bull run in 2025, reaching multi-year highs near $4,792. This surge is driven by a confluence of factors, including institutional inflows, technical upgrades, macroeconomic tailwinds, and on-chain fundamentals.
Notably, the volume during this rally has spiked notably, indicating solid market participation. Ethereum is in a prime position to challenge its previous highs, having broken through key resistance levels at $3,200 and $4,000 with little hesitation.
The 50-week moving average has crossed decisively above the 100-week MA, signaling strong bullish momentum. This technical evidence is further bolstered by record network usage, with over 1.74 million transactions processed in a day and over 680,000 daily active addresses, driven by DeFi growth and institutional interest.
Institutional demand is playing a pivotal role in Ethereum's rally. Ethereum ETFs attracted $2.85 billion in Q2 2025 and $9.4 billion overall through ETF inflows, outpacing Bitcoin's inflows. Corporate treasuries hold over $17 billion in ETH, illustrating growing corporate accumulation.
Network upgrades boosting scalability and reducing costs, such as the rollout of EIP-4844 (Proto-Danksharding), have significantly lowered layer-2 transaction costs, increasing total value locked (TVL) in Ethereum’s DeFi ecosystem by 38% in Q3 2025. This enhancement of Ethereum’s utility and attractiveness for developers and investors has contributed to the bullish sentiment.
The Federal Reserve's dovish pivot and expectations of interest rate cuts have increased risk appetite, fueling crypto investments, including Ethereum. The potential for Ethereum to serve as an inflation hedge amid continued macroeconomic uncertainty also supports demand.
On-chain dynamics indicate scarcity and growing ecosystem maturity. About 29% of Ethereum's supply is staked, and there is a deflationary issuance model due to burns surpassing new issuance, creating a scarcity premium. Additionally, about 2.7 million ETH is held by 19 public companies, reinforcing institutional backing.
While this momentum is strong, historical patterns show September is often a pullback month for Ethereum after strong August rallies, introducing some near-term caution despite the robust bullish case. However, a breakout above the current support zone could set the stage for new price discovery.
In summary, Ethereum's 2025 price rally is propelled by institutional capital inflows, key scalability upgrades like EIP-4844, accommodating macroeconomic policies, and strong on-chain metrics reflecting a maturing ecosystem. Traders are eyeing a potential breakout into uncharted territory, with the bullish structure remaining intact as long as ETH holds above the mentioned support zone.
Altcoins such as Ethereum are experiencing a surge in finance and investing, fueled by a combination of factors including institutional inflows, technological upgrades, and macroeconomic tailwinds. The blockchain technology underlying Ethereum is demonstrating strong performance, with record network usage and over 1.74 million transactions processed in a day.
