Daily News 19

Tag: Ethereum technical analysis

  • Ethereum Investors Withdraw ETH From Binance at Fastest Pace in 3 Years

    Ethereum Investors Withdraw ETH From Binance at Fastest Pace in 3 Years

    Key Highlights

    • Ethereum surges 6% to trade above $2,700, marking an 80% gain from $1,510 over three months as on-chain data signals strong accumulation.
    • Binance ETH withdrawal transactions hit a three-year high with a monthly average exceeding 90,000—double January levels—suggesting investors are moving assets to private custody for long-term holding.
    • U.S. spot Ethereum ETFs recorded $263.3 million in net outflows during a volatile midweek, erasing early and late-week inflows and pushing August net inflows below $190 million.

    Ethereum Price Surge and Accumulation Signals

    Ethereum climbed steadily on Monday, rising 6% over the past 24 hours to trade above $2,700 at press time. The leading altcoin has now rocketed by 80% from $1,510 in just three months, a rally that has fundamentally altered the asset’s market structure. According to data from CryptoQuant, Ethereum has moved above April’s high, demonstrating stronger momentum than Bitcoin, which has struggled to hold firmly above its May high.

    Binance Withdrawal Data Points to Strong Accumulation

    One of the most significant signals is emerging from Binance, where the monthly average of ETH withdrawal transactions has now crossed 90,000. CryptoQuant observed that this represents the highest level seen in three years and is approximately twice the level recorded at the start of the year. The rise in withdrawals can be a sign of increased accumulation, with investors appearing to move ETH away from exchanges and into private wallets or custody solutions—a behavior that often reflects a longer-term holding strategy.

    CryptoQuant found that the trend has been “fairly sudden” and significant. The data also suggests that Ethereum’s accumulation is currently stronger than Bitcoin’s. If the withdrawals continue, they could remain an important signal for ETH’s market direction in the months ahead.

    Technical Analysis: Bullish Structure and Key Levels

    Analyst Crypto Patel noted that Ethereum’s higher-timeframe structure has flipped bullish, showing a clear change of character on the chart. The move followed strong buying from the $2,300 demand area. ETH has also reclaimed the $2,483 to $2,584 fair value gap, making this zone important for the next price reaction.

    According to the analysis, the next upside area sits between $2,715 and $2,900, where additional liquidity could attract buyers. A larger resistance zone is located between $3,070 and $3,404. The $2,300 level remains a crucial structural support, while $1,647 to $1,744 could become relevant if the current structure breaks down. Crypto Patel added that the bullish setup remains valid as long as ETH holds $2,360.

    ETF Flows: Midweek Selling Pressure

    U.S.-based Ethereum ETFs endured a rough week as heavy midweek selling wiped out gains from the start and end of the week. The funds saw $141.4 million in outflows on Tuesday, followed by another $224.1 million on Wednesday and $39.2 million on Thursday. Monday and Friday offered some relief, attracting $121 million and $143.8 million respectively. Despite these inflows, they were not enough to reverse the damage. The weak stretch has now pulled August’s ETF inflows below $190 million.

    Why This Matters

    The divergence between on-chain accumulation signals and ETF flow volatility highlights a complex market dynamic. While exchange withdrawal data suggests conviction among long-term holders—often a bullish precursor—ETF flows reflect shorter-term institutional sentiment that remains sensitive to macroeconomic headlines and risk appetite. The $2,300–$2,360 support zone now serves as a critical line in the sand; a defense here could validate the bullish structure change and open the path toward the $3,000+ resistance cluster, while a breakdown would shift focus to the $1,647–$1,744 demand area. Market participants should monitor whether Binance withdrawal momentum sustains, as continued custody migration would reinforce the accumulation thesis regardless of near-term ETF turbulence.

    Frequently Asked Questions

    What is driving Ethereum’s recent price increase above $2,700?

    Ethereum’s 6% daily gain and 80% three-month rally are supported by strong on-chain accumulation signals, particularly a three-year high in Binance withdrawal transactions averaging over 90,000 per month. This suggests investors are moving ETH into private custody for long-term holding, a behavior historically associated with bullish momentum.

    Why did U.S. Ethereum ETFs see heavy outflows midweek despite the price rally?

    U.S. spot Ethereum ETFs recorded $263.3 million in net outflows from Tuesday through Thursday, erasing Monday and Friday inflows of $121 million and $143.8 million respectively. This reflects short-term institutional profit-taking or risk reduction amid broader market volatility, contrasting with the longer-term accumulation trend visible in on-chain data.

    What are the key technical levels to watch for Ethereum’s next move?

    Immediate resistance lies between $2,715 and $2,900, with major resistance at $3,070–$3,404. The bullish structure holds as long as ETH maintains $2,360, with $2,300 as critical structural support. A breakdown would bring the $1,647–$1,744 zone into focus as potential downside target.

  • Ethereum Price Could Retest $2,250 if Support Fails

    Ethereum Price Could Retest $2,250 if Support Fails

    Ethereum price traded near $2,455 on Aug. 31 after buyers again failed to hold ETH above $2,500. The cryptocurrency remained trapped between resistance near $2,550 and support around $2,400.

    Ethereum price action today

    According to data from crypto.news, Ethereum opened the week at $2,481.78 before reaching an intraday high of $2,564.27 on Aug. 27. Sellers rejected that move, and ETH traded near $2,455 at the time of writing on Aug. 31.

    The pullback left Ethereum about 1% below its weekly opening level. However, ETH remained up roughly 28% over 30 days after recovering from below $1,900 earlier in August.

    The daily chart shows that the recovery accelerated around Aug. 19, when ETH broke above a group of long-term moving averages between approximately $1,900 and $2,050. The price then climbed more than 30% over several sessions before entering consolidation.

    ETH has since traded mainly between approximately $2,390 and $2,550. Repeated upper wicks near the top of the range indicate that buyers have tested resistance several times without securing a sustained daily close above it.

    The latest daily candle recovered from a low near $2,401, suggesting that buyers continue to defend the lower end of the range. However, Ethereum must reclaim $2,500 before it can retest the Aug. 27 high.

    Ethereum momentum cools after August rally

    Ethereum’s daily relative strength index stood at 68.34, down from levels above 70. The reading remains close to overbought territory, but it also shows that momentum has eased as ETH struggles below $2,550.

    Ethereum price daily chart — Aug. 31 | Source: crypto.news

    The RSI’s moving average was higher at 75.33. An RSI move below its average after an overbought reading can accompany consolidation or a deeper pullback, although the indicator does not determine the next price direction by itself.

    ETH continues to trade above all five moving averages shown on the daily chart. The 20-day simple moving average sits at $2,246.73, making it the first major dynamic support if the current range breaks down.

    The 50-day and 200-day moving averages stand at $2,031.57 and $2,026.20, respectively. Contrary to the earlier death-cross concern, the latest chart shows the 50-day average slightly above the 200-day line. The narrow gap suggests that the longer-term trend has improved, but it leaves little room to absorb a sharp reversal.

    The 100-day moving average sits near $1,897.27. Ethereum’s position well above that level reflects the strength of the August recovery, although the distance between the price and its moving averages also leaves room for mean reversion.

    Ethereum faces liquidity near $2,550

    The 4-hour chart places ETH inside a horizontal range extending from around $2,390 to $2,550. The price has tested both sides since Aug. 21 without producing a confirmed breakout.

    Ethereum price 4-hour chart — Aug. 31 | Source: crypto.news

    Short-term momentum remains mixed. The Aroon Down reading stood at 71.43%, compared with 64.29% for Aroon Up, showing a slight bearish advantage after the latest rejection. However, both readings remain elevated, which is consistent with volatile price movement inside the range rather than a clear directional trend.

    Chaikin Money Flow stood at minus 0.07 on the 4-hour chart. The negative reading points to mild net selling pressure, but its proximity to zero suggests that sellers have not established strong control.

    The one-week CoinGlass liquidation heatmap shows a dense concentration of leveraged positions around $2,545–$2,550, followed by another liquidity band near $2,570–$2,580. A move into either area could trigger short liquidations, although the same zones may also attract renewed selling.

    Ethereum liquidation heatmap | Source: CoinGlass

    On the downside, visible liquidation concentrations sit near $2,410 and $2,390. A break below $2,400 could therefore force leveraged long positions to close and increase short-term volatility.

    Key ETH levels to watch

    A daily close above $2,550 would invalidate the upper boundary of the current range and clear the way for a test of the liquidation zone near $2,575. The next wider resistance area sits near $2,650, according to the price structure shared by market analyst Ted Pillows.

    Pillows said ETH had tried and failed to break $2,550 again. He expects further range-bound trading and “a small capitulation before reversal,” while his chart identifies approximately $2,250 as the first deeper support.

    $ETH tried to break above the $2,550 level but failed again.For now, I think most of Ethereum’s moves are done in the short term.Expecting more chop and a small capitulation before reversal. pic.twitter.com/Q1pD2dS8xR

    — Ted (@TedPillows) August 31, 2026

    The immediate downside level remains $2,400. A 4-hour or daily close beneath it would shift attention toward the 20-day moving average near $2,247, which closely matches Pillows’ first support zone.

    If that area fails, the 50-day and 200-day moving averages around $2,030 form the next major support cluster. A decline that deep would erase much of the late-August breakout and weaken the current recovery structure.

    The bullish setup requires ETH to defend $2,400, reclaim $2,500 and close above $2,550. The bearish setup would gain strength below $2,400, with $2,247 and $2,030 serving as the main lower targets.

    US policy remains an Ethereum market catalyst

    Market analyst Michaël van de Poppe said the ETH-to-Bitcoin pair was moving sideways near what he considered a potential entry zone. He expects ETH to outperform Bitcoin in the coming month based on his forecast that the CLARITY Act will receive approval.

    However, the legislation had not been enacted as of Aug. 31. An Aug. 5 regulatory filing said the bill passed the House in July 2025 and advanced through the Senate Banking Committee in May 2026, but negotiations remained ongoing and its prospects were uncertain.

    US spot Ethereum ETF flows provide another measure of institutional demand. US spot Ethereum ETFs recorded $815.7 million in net inflows across the five trading days from Aug. 24 to Aug. 28, according to data compiled by Farside Investors. BlackRock’s ETHA led the weekly intake with $567 million, while the ETF group posted its largest daily inflow of the week on Aug. 27 at $225.8 million.

    ETH therefore enters September with its monthly recovery intact but short-term momentum fading. The next confirmed move depends on whether buyers can clear $2,550 or sellers can break the support and liquidation zone around $2,400.