Ethereum is currently trading at $2,420, reflecting a 3.6% decrease over the past 24 hours, following a period of strong price gains earlier in August that propelled the asset above $2,400 for the first time in months.
Profit-taking mounts as price exceeds on-chain cost
After Ethereum surpassed its average on-chain acquisition cost of $2,306, some holders chose to secure profits, leading to the recent pullback. Historically, when ETH moves above major acquisition levels, investors who were holding losses tend to sell, exerting downward pressure on the price.
Data from blockchain analytics services indicates that the Spent Output Profit Ratio (SOPR) for Ethereum has remained above 1 for the past week. This metric signals that most completed transactions resulted in realized profits, supporting a narrative of increased profit-taking.
Throughout the previous week, Ethereum’s SOPR held above 1, meaning most ETH that changed hands produced actual gains for their holders and confirmed that realized profit has increased.
Despite the corrective movement, institutional activity remains notable. US-based spot Ethereum ETFs recorded $234.51 million in net inflows on August 27, extending a nine-day streak. The previous two days saw $192.35 million and $179.80 million in inflows, respectively.
ETH
SOL
BSC
ROBINHOOD
USDT
AAPLThis steady accumulation has pushed weekly ETF inflows to $722.24 million, marking the largest seven-day total for Ethereum investment products in about ten months. Cumulative inflows stand at $12.87 billion, with assets managed by these funds reaching $15.57 billion.
Major whale accumulates ETH at resistance
On-chain monitoring shows that a major wallet acquired 5,425 ETH, worth $13.55 million at an average cost of $2,498, according to Lookonchain. This significant purchase took place at the $2,500 resistance level, a technically important area watched by market participants.
Since ETH is now trading below this whale’s entry price, market watchers are observing whether renewed buying pressure will push the asset back above $2,500 to sustain a bullish technical setup. Market analyst Daan Crypto Trades highlighted that Ethereum recently posted a higher high on the weekly chart but warned that price stability above $2,300 would be essential for bulls.
The latest breakout has improved market structure, but bulls should avoid letting ETH fall below $2,300 to preserve the trend’s momentum.
Tracking data from DefiLlama also shows that stablecoin deposits surpassed $4.1 billion over the previous two weeks, providing the market with additional liquidity.
Network activity and derivatives reflect hesitation
Despite positive price movement, Ethereum network activity has not kept pace. Transaction volume and active address counts both declined over the last week, indicating that the rally has not been accompanied by greater on-chain engagement.
In derivatives, open interest has yet to fully recover after a recent round of forced liquidations and a short squeeze. Ethereum saw $97.3 million in liquidations over the past day, $75.8 million of which affected long positions. The 14-day Relative Strength Index is at 69, just below the overbought threshold, while the Stochastic Oscillator signals that price momentum may be stretched in the short term.
Total open interest in Ethereum derivatives has now climbed over $32 billion, with daily trading volume exceeding $100 billion, according to Coinglass. Traders are closely watching the $2,500 resistance and $2,146 as primary support levels.
As technical analyses point to the importance of monitoring key levels and evaluating asset positioning, a larger transformation continues to unfold in financial markets. While traditional trades depend on intermediaries, Wall Street is increasingly embracing Web3. Platforms such as 1stepSwap now allow investors to store shares of leading US companies, gold, and silver directly in their crypto wallets. By enabling tokenization of real-world assets and offering instant access to the best market prices, these solutions eliminate intermediaries and offer direct asset ownership.
