Ethereum Price Today: On-Chain Data Signals Bearish Trends for ETH Price in August

Ethereum (ETH) price closed last week on a bearish note after a notable rebound fueled by the recent approval of spot Ether ETFs. The large-cap altcoin, with a fully diluted valuation of about $407 billion and a daily average traded volume of around $11.1 billion, has already established a solid support range between $$2,928 and $2,831 in the past five months.

Waning Demand for Ethereum

The ongoing cash outflows from the US-based spot Ether ETFs have weighed heavily on the Ethereum bullish sentiment. As of this report, the US-based spot Ether ETFs have registered a net cash flow of about $341 million. 

Despite the notable cash inflows in the other spot Ether ETF issuers, Grayscale’s ETHE has over $7 billion in net assets under management, which will likely be dumped in the coming months.

Consequently, on-chain data shows that some large entities holding Ether have begun to dump Altcoin to preserve profits and capital.

For instance, a giant whale has recently been depositing huge amounts of Ether into different centralized exchanges, signaling possible capitulation.

Ethereum Price Prediction

With July ending on a bullish note, the crypto industry is likely to be trapped in a bearish outlook in August, as historical data supports. Moreover, the U.S. Fed will likely not initiate interest rate cuts on August 31, similar to China, the EU, or the Bank of Canada.

According to a popular crypto analyst alias CrediBULL Crypto, Ethereum’s price will likely drop towards the support level around $2,814 I. The coming weeks. The crypto analyst expects a similar drop in Bitcoin towards the support level of around $60k.