Ethereum Traders Remain Cautious Amid ETF Inflows and Competitive Network Pressures

Key Points

1. Ethereum’s total value locked (TVL) dropped 11% to 23.4 million ETH, hitting a five-month low, while Solana’s TVL declined only 4% and BNB Chain’s deposits grew by 15%.

2. Ethereum lost its lead in decentralized exchange (DEX) volume, with $81.4 billion over 30 days, trailing behind Solana’s $82.9 billion and BNB Chain’s $189.2 billion.

3. The ETH 3-month futures annualized premium stands at 6%, down from 8%, indicating a neutral market stance, while the annualized funding rate for ETH perpetual futures dropped to 9%, reflecting reduced demand for leveraged bullish positions.

4. Nine publicly listed companies hold at least 2,000 ETH each, which could propel ETH prices toward $5,000 if buying persists, but trader skepticism keeps the $4,000 resistance level unbroken.

5. Ethereum’s stagnant network activity and declining onchain metrics dampen investor confidence despite price gains and ETF inflows.