Smart Money Drives Ethereum Near $4,000 Amid ETF Outflows
Ethereum has risen 2.2% to $3,940, closing in on the key $4,000 resistance after U.S. spot ETH ETF flows saw outflows of $127.5 million on October 23, following a $145 million withdrawal earlier in the week. Meanwhile, smart money traders boosted long positions by $132.2 million, taking 67% of open contracts into bullish territory and signaling growing whale activity.
On the charts, Ethereum faces a descending trendline tested five times and is trading above a supportive demand zone. The MACD indicator is approaching a bullish crossover. A decisive resistance breakout near $4,000 paired with a MACD crossover could confirm a sustained uptrend, while failure may trigger a pullback. Traders should monitor ETF flows, smart money positioning, the $4,000 level, and MACD signals for early cues on Ethereum’s next move.
Bullish
The combined news points to bullish pressure on Ethereum. Despite institutional ETF outflows totalling $127.5 million on October 23, smart money increased long positions by $132.2 million, driving 67% of open interest into bullish bets. Technically, Ethereum is testing a descending resistance line for the fifth time and is above a key support zone, with the MACD indicator nearing a bullish crossover. A confirmed breakout above the $4,000 level alongside a MACD crossover would likely validate a sustained uptrend, while failure could trigger a short-term pullback. Overall, the convergence of strong whale activity and positive technical signals suggests upward momentum in both the short and medium term.