Ethereum recently experienced a solidly bullish August, recording a 41% rally with a monthly low of $1,820 and a high of $2,567. These steady gains were accompanied by a continuous streak of positive flows into Spot Ethereum ETFs. According to data from Farside Investors, spot ETFs registered a net flow of $1.736 billion beginning August 12, with positive inflows recorded on every trading day except September 2.
Despite the strong performance, Ethereum's bullish momentum has stalled in recent weeks. A range formation has developed between $2,380 and $2,530 on the 4-hour chart. This range encompasses the $2,466 swing high from April, which previously marked a lower high in the asset's long-term downtrend from last October, indicating potential distribution at a key swing level.
Metrics Show Sustained Buying Pressure
Data from CryptoQuant indicates that buying pressure remains present in the market. The 3-month taker CVD measured an increase in aggressive buying volume during August, while the spot taker CVD reflects ongoing buyer-dominant conditions. Derivatives markets have shown a similar uptick, with the taker buy/sell ratio climbing to 1.11. Readings above 1 indicate that aggressive buy orders are outweighing sellers, signaling buyer dominance.
Additionally, exchange reserves for Ethereum have declined in recent days. Analyst Ali Martinez reported via social media that 116,000 ETH, valued at approximately $300 million, was withdrawn from exchanges over a two-day period.
Key Levels to Watch
Market observers note that a successful flip of the $2,530 range high could clear the path toward the $2,900 to $3,000 supply zone. Conversely, a breakdown below the $2,380 support level would serve as an early indicator of shifting momentum against the bullish outlook.
