Ethereum (ETH) Strengthens $4,100 Support Amid Spot ETF Inflows and Institutional Investment Activity

Ethereum (ETH) has securely reaffirmed its $4,100 support level amid mounting institutional interest and hefty inflows into U.S.-based spot Ethereum exchange-traded funds (ETFs). While bullish sentiment is gaining traction in the spot market, activity in the futures market remains muted, indicating limited appetite for leveraged positions and cautious optimism regarding sustained upward price movements.

Institutional Demand Fuels Spot ETF Inflows

On October 29, U.S. spot Ethereum ETFs posted a record-breaking net inflow of $547 million—equivalent to approximately KRW 750 billion—marking the largest single-day inflow since mid-August, according to Faside Investors. Leading the charge were Fidelity’s Ethereum ETF (FETH) and BlackRock’s Ethereum ETF (ETHA), which saw respective inflows of $202.18 million and $154.2 million.

For the first time since their launch in July 2024, all nine publicly available spot Ethereum ETFs simultaneously recorded net inflows, reversing a five-day streak of cumulative outflows totaling $795.56 million. Analysts suggest this resurgence in institutional investment could act as a potential catalyst for short-term price gains, indicating growing confidence in Ethereum’s market fundamentals.

Exchange Data Signals Strengthened Spot Buying Sentiment

Fresh data from cryptocurrency analytics firm CryptoQuant indicates substantial Ethereum net outflows from exchanges, with 117,900 ETH exiting exchange wallets on October 30, greatly outpacing deposits. This trend reflects increased investor holding sentiment and heightened demand within the spot market. As investors transfer assets away from exchanges, the assumption is that these coins are being stored long-term, signaling optimism about Ethereum’s future value trajectory.

Futures Market Remains Subdued Despite Spot Market Momentum

While the spot market continues to build momentum, the futures market tells a different story. Data from Coinglass reveals that Ethereum futures open interest has remained stagnant since September 26, highlighting restrained participation among traders. Recent liquidations and downtrends have led to investor hesitancy in adopting leveraged positions. A market analyst commented, “The resurgence of spot buying is unquestionably a positive sign, but the absence of parallel interest in the futures market could hinder Ethereum’s potential for substantial upward movement in the near term.”

Technical Analysis Examines Critical Support and Resistance Levels

Ethereum’s current market position involves a delicate balance between maintaining support levels and overcoming resistance barriers. From a technical analysis perspective, ETH has successfully held above the Fibonacci 0.786 retracement level, situated at $4,080. However, the cryptocurrency faces a formidable resistance zone at the 50-day moving average ($4,390).

If Ethereum manages to breach this resistance, it could pave the way for retesting historical highs ranging from $4,800 to $4,950. Conversely, failure to sustain the $4,100 support level may result in declines targeting the 100-day moving average ($3,834) and the Fibonacci 0.618 retracement level ($3,400), marking potential lower support zones critical for market stability.

Market Snapshot and Investor Outlook

As of 10:20 AM KST, Ethereum is trading at $4,145.97 on CoinMarketCap, reflecting a 1.4% losses from the prior day’s price levels. This slight dip has prompted close scrutiny from market participants, who remain focused on whether Ethereum can consistently maintain the $4,100 support and foster heightened activity in the futures market to sustain bullish momentum.

The evolving dynamics between institutional demand, spot ETF inflows, and lingering caution in the futures market are reshaping expectations for Ethereum’s price movement. Investors will continue monitoring key technical levels and sector trends to assess the likelihood of Ethereum overcoming resistance zones and achieving meaningful price recovery.

Stay tuned to Block Media for the latest cryptocurrency market insights and Ethereum updates.