While the broader cryptocurrency market navigates a bearish phase, Ethereum has managed to lead stablecoin market capitalization growth over the past week. According to Token Terminal data, Ethereum's stablecoin market capitalization increased by $243.4 million.
Ethereum was followed by Arbitrum One, which saw a $108.6 million increase, and Base, which added $51.1 million. Combined, these three networks recorded a $403.1 million increase in stablecoin market capitalization over a seven-day period.
Despite the growth in stablecoins, Ethereum's price saw a modest 24-hour drop and a 7.1% decline over the week, trading at $2,492.27 at press time. Technical indicators showed the Relative Strength Index trading slightly above the neutral line, indicating that bulls were present but lacked strong momentum, while narrowing Bollinger bands pointed to low volatility and price consolidation. Additionally, spot ETH exchange-traded funds recorded outflows totaling $634.80 million during the month of October.
Market metrics also indicate that leveraged positioning in Ethereum's derivatives sector is cooling. Data from Santiment shows that Ethereum's total Open Interest in USD rose from around $12 billion in mid-August to nearly $18 billion in late September, before declining to approximately $15.42 billion by October 10. Concurrently, the Network Realized Profit/Loss indicator fluctuated around zero with occasional spikes before nearing -121K.
