Ethereum (ETH) is back in focus as it sees stronger activity following a late-2025 retracement. This is because there is evidence of increased exchange flow, ongoing interest in exchange-traded funds, and improving technical indicators.
At the time of writing, ETH is trading at $3,103.60, posting a 24-hour trading volume of $36.87 billion and a market capitalization of $373.69 billion. The asset has risen 1.81% over the last 24 hours, signaling renewed activity across the market.
The most recent rally follows a rather choppy end of 2025 when Ethereum tested support below $3,000. However, activity has since rallied due to stronger exchange volumes and spot ETF demand. This is indicative of how money flows are indicative of short-term sentiment.
According to CryptoQuant data, Ethereum experienced a net inflow of 960 million US dollars to Binance in December of 2025. This is the largest monthly net inflow for Ethereum since July.
For the period between July and November, there were more withdrawals than deposits on the Ethereum network, indicating that cryptocurrencies were being held off-exchange. Large ETH deposits on Binance in December led to increased liquidity on the platform.
The inflow was quite high compared to other monthly levels in the past, which indicates there is a noticeable change in the positioning of market participants regarding Ethereum.
The exchange flows were boosted by the strong demand for spot Ethereum ETFs at the beginning of the year, as indicated in the SoSoValue data that showed $174 million net inflow in Ethereum spot ETFs on January 2.
The daily inflow leader was Grayscale’s Ethereum Trust ETF, which attracted $53.7 million, although it has had a net outflow of $4.996 billion over the long term. The Grayscale ETH Mini Trust ETF attracted $50 million, taking the total inflow to $1.538 billion.
The total net assets for Ethereum spot ETFs are $19.046 billion, which is roughly 5.06% of Ethereum’s total market cap. The total net flows for all spot Ethereum ETFs are $12.502 billion.
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The data obtained from Ethereum’s flow corresponds to the increasing interest in upgrades to come. Upgrades such as Pectra and Fusaka will improve scaling and reduce transaction costs. This is an important field for those analyzing the long-term development of ETH.
Focus is on ETH breaking above $3,000, with momentum tools indicating a buy zone. $3,250 is a significant level to watch, with a break often being considered a sign of a stronger trend.
Long-term price predictions have again floated to the fore, with Tom Lee predicting prices of between $7,000 and $9,000 for Ethereum in the year 2026.
ETH is gaining traction due to increased exchange inflows, steady demand for ETFs, and improvement in technicals. Going ahead, we will see if it is a strong enough rally to sustain.
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