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    Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

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Ethereum ETF Inflows Fuel 41% ETH Price Surge As Market Demand Grows

Story Highlights
  • Ethereum surges 41% in 8 days driven by a combination of factors including pro-crypto US election results.

  • Stablecoin market cap and TVL on the Ethereum network have seen significant growth.

  • Ethereum's fear and greed index at 81% indicates extreme investor optimism.

As the crypto cash flow continues to favor large-cap altcoin, Ethereum (ETH) has reminded speculative investors why it is the top-traded altcoin. The veteran altcoin, with a market cap of over $401 billion and a daily average trading volume of around $66.9 billion, has surged 41 percent in the last eight days to trade about $3,332 on Tuesday, November 12, during the early European session.

What’s driving this explosive growth? Let’s delve deeper.

Ethereum’s Growth: The Bulls Are Back!

After trailing Solana (SOL) in daily active addresses in the recent past, the Ethereum bulls have re-awakened. Ethereum’s bullish momentum has significantly surged following the recent U.S. election, which saw the victory of pro-crypto leaders. 

The Ethereum ecosystem, home to the largest Web3 network, has also benefited from last weekโ€™s Federal Reserve rate cut, which was followed by a similar move from the Bank of England (BoE). These actions have helped fuel a rise in institutional confidence, driving Ethereum’s market growth.

Institutional Demand Pushes Ethereumโ€™s Value Higher

Ethereumโ€™s stablecoin market cap has increased by over $9 billion in the last week, while the total value locked (TVL) on its network has jumped from $45 billion to $61 billion.

A major factor behind this growth is rising demand from institutional investors, especially the U.S. spot Ether ETFs. BlackRockโ€™s ETHA, for instance, attracted over $500 million in inflows in just four days.

Midterm Targets Look Bullish

As Ethereumโ€™s core developers meet with the community in Bangkok for the 2024 Devcon, the fear of further market declines has largely faded. Ethereumโ€™s fear and greed index has surged to 81%, signaling extreme greed and optimism among investors.

From a technical analysis standpoint, Ethereum’s price has successfully regained the 200 weekly Moving Average (MA) as a support level. If the bullish sentiment persists in the coming weeks, Ethereum price is well primed for $6k before the end of this year.

With its market momentum firmly in place, Ethereum is once again proving why it’s the altcoin everyone keeps an eye on.

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