Ethereum (ETH) Price: Bullish Signals Build Momentum as Smart Money Accumulates

TLDR

• Ethereum is attempting to push back above the $2,000 level after months of selling pressure.
• The Estimated Leverage Ratio on Binance dropped to 0.557, its lowest since December, suggesting traders are reducing risk.
• BitMine acquired 20,000 ETH worth $39.8 million, reaching 72% of its goal to hold 5% of Ethereum’s total supply.
• Over 50% of all historically issued ETH is now locked in staking contracts for the first time.
• Ethereum spot ETFs recorded $48.63 million in net inflows with no outflows across all nine funds.

Ethereum is trading near the $2,000 level as traders watch for signs of a sustained recovery. At the time of writing, ETH sits at $1,972, up 1% in 24 hours but still down 38.54% over the past month.

The $2,000 mark has become a key level that traders are watching closely for short-term direction.

One data point drawing attention is Ethereum’s Estimated Leverage Ratio on Binance. According to CryptoQuant, the ratio dropped to around 0.557, its lowest reading since December.

That is down from a recent peak of roughly 0.675, when traders were taking on more aggressive positions.

A falling leverage ratio means traders are closing leveraged positions or moving toward more cautious strategies. This kind of deleveraging has historically come before periods of price stabilization.

Lower leverage tends to reduce the risk of sudden liquidation events, which can cause sharp price swings. Analysts say this may be creating a more stable base for ETH price discovery.

BitMine Accelerates ETH Accumulation

Tom Lee’s Nasdaq-listed firm BitMine added 20,000 ETH, worth approximately $39.8 million, purchased from BitGo. This follows an announcement that the firm had already acquired 45,759 ETH the previous week.

BitMine says it has now reached 72% of its goal to hold 5% of Ethereum’s total supply. The firm is one of the more aggressive institutional buyers of ETH at current prices.

Analyst Ted Pillows noted that liquidity clusters remain balanced, with both longs and shorts positioned aggressively on either side of the current price. That structure means a move in either direction could trigger a wave of liquidations.

ETH Staking Hits Historic Milestone

Santiment reported that Ethereum’s proof-of-stake contract now holds more than 50% of total historical ETH issuance for the first time in the network’s 11-year history. The exact figure reported was 50.18%.

Staked ETH is locked in a one-way vault and cannot be traded or spent while staked. This reduces the amount of ETH actively circulating on the market.

Everstake noted that staking growth often picks up during slower trading periods and bear cycles. An estimated 120 million ETH currently exist on the network.

On the ETF side, SosoValue data showed Ethereum spot ETFs recorded $48.63 million in total net inflows. None of the nine Ethereum spot ETFs posted net outflows during the reported period.

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