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<p class="is-style-lead">Ethereum is still struggling to reach its March high of $4,000, let alone the all-time high of $4,891 in November 2021.</p> 
<p>Ethereum’s (<a href="https://crypto.news/price/ethereum/" target="_blank">ETH</a>) on-chain movements along with its decentralized finance sector have remained strong while the leading altcoin is seeing high price volatility amid market turbulence.&nbsp;</p> 
<p>ETH briefly touched a four-month high of $3,444 on Tuesday, Nov. 12. Following the price drop from its local high, the king altcoin has been consolidating between $3,120 and $3,290 over the last two days.</p> 
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 <img loading="lazy" decoding="async" width="1162" height="681" src="https://crypto.news/app/uploads/2024/11/ETHUSDT_2024-11-14_11-19-41.png" alt="Here are 5 reasons why Ethereum looks strong despite market volatility - 14" class="wp-image-14310465">
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  ETH price | Source: <a href="https://crypto.news/price/ethereum/" target="_blank">crypto.news</a>
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<p>While Ethereum is still down by 34% from its ATH, its fundamentals remain strong.</p> 
<h2 class="wp-block-heading" id="etf-inflows">ETF inflows</h2> 
<p>Spot ETH <a rel="" href="https://crypto.news/ethereum-etfs-post-record-weekly-inflows-eth-eyes-4000/">exchange-traded funds</a> in the U.S. have been registering consecutive inflows since the U.S. elections last week.&nbsp;</p> 
<p>The investment products started the week with a record net inflow of $295.5 million led by Fidelity’s FETH and BlackRock’s ETHA funds — worth $115.5 million and $101.1 million, respectively.&nbsp;</p> 
<p>On Wednesday, spot ETH ETFs <a href="https://crypto.news/bitcoin-etfs-see-record-trading-volume-amid-btc-all-time-high/" target="_blank">had</a> a net inflow of $146.9 million, taking the total inflows to $241.7 million.&nbsp;</p> 
<p>This is the first time these ETH-based investment products have seen strong demand since their launch in July.</p> 
<h2 class="wp-block-heading" id="whale-accumulation">Whale accumulation</h2> 
<p>Ethereum is also seeing increased whale accumulation as the market participants wander in greedy conditions.</p> 
<p>Large holders saw a net inflow of over 97,000 ETH, worth roughly $310 million, yesterday, according to data provided by IntoTheBlock.&nbsp;</p> 
<figure class="wp-block-image size-full">
 <img loading="lazy" decoding="async" width="1200" height="800" src="https://crypto.news/app/uploads/2024/11/ITB_eth_large_holders_netflow_ethereum_2024-11-14T07_32_09.845Z.png" alt="Here are 5 reasons why Ethereum looks strong despite market volatility - 15" class="wp-image-14310467">
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  ETH whale net flow | Source: <a href="https://app.intotheblock.com/coin/ETH" target="_blank" rel="nofollow">IntoTheBlock</a>
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<p>Whale accumulation often triggers the fear of missing out among retail investors. This usually leads to high price volatility before gaining steady upward momentum.</p> 
<h2 class="wp-block-heading" id="exchange-outflows">Exchange outflows</h2> 
<p>In addition to whales, retail investors have also been busy accumulating Ethereum.</p> 
<p>ETH recorded an exchange net outflow of $1.12 billion over the past week, data from ITB shows. The large holder-to-exchange net flow ratio suggests strong retail accumulation on Nov. 9, 11 and 12.</p> 
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 <img loading="lazy" decoding="async" width="1200" height="800" src="https://crypto.news/app/uploads/2024/11/ITB_eth_large_holders_netflow_to_exchange_netflow_ratio_ethereum_2024-11-14T07_32_04.779Z.png" alt="Here are 5 reasons why Ethereum looks strong despite market volatility - 16" class="wp-image-14310466">
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  ETH large holder-to-exchange net flow | Source: <a href="https://app.intotheblock.com/coin/ETH" target="_blank" rel="nofollow">IntoTheBlock</a>
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</figure> 
<p>Exchange outflows usually lead to long-term holding which would ultimately pave the way to a steady growth.</p> 
<h2 class="wp-block-heading" id="defi-growth">DeFi growth</h2> 
<p>Ethereum’s <a rel="" href="https://crypto.news/understanding-defi-and-its-uses/">DeFi</a> sector has also been surging.&nbsp;</p> 
<p>The total value locked in Ethereum-based protocols increased by roughly $10 billion after the crypto market gained bullish momentum on Donald Trump’s win in the U.S. presidential election, according to <a href="https://defillama.com/chain/Ethereum" target="_blank" rel="nofollow">data</a> provided by Defi Llama.</p> 
<p>Moreover, the total fees collected by <a rel="" href="https://crypto.news/tag/defi/">DeFi</a> platforms on the Ethereum network tripled over the past seven days to $18 million. These protocols generated a total revenue of $15.5 million over the past day.</p> 
<h2 class="wp-block-heading" id="hitting-4k-before-2025">Hitting $4k before 2025?</h2> 
<p>Amberdata, a market analysis firm, claims that there is an 18% chance of Ethereum reaching the $4,000 mark by the end of the year.&nbsp;</p> 
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  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">18% chance that Ethereum can hit $4000k by EOY being priced in for the Dec 27 expiration<br><br>We're still a long way from ETH's all-time high. Which makes us think we may have some room to run. NFA<br><br>New SVI Calibrated PDF/CDF charts built by AD Derivatives <a href="https://twitter.com/genesisvol?ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">@genesisvol</a><br>Check out the… <a rel="nofollow" href="https://t.co/csb7AZyeCy" target="_blank">pic.twitter.com/csb7AZyeCy</a></p>— Amberdata (@Amberdataio) <a href="https://twitter.com/Amberdataio/status/1856484075428819098?ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">November 12, 2024</a>
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<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 <p>“We’re still a long way from ETH’s all-time high. Which makes us think we may have some room to run.”</p> <cite>Amberdata wrote in an X post.</cite>
</blockquote> 
<p>The strong growth in ETH ETFs and the increasing whale accumulation could add to the positive Ethereum price momentum.</p> 
<p>However, it’s important to note that <a href="https://crypto.news/bitcoin-surpassed-93k-after-cpi-report-here-are-2-more-macro-events-to-watch/" target="_blank">macro events</a> could potentially shift the market’s focus to the other way despite bullish on-chain signals.</p> 
<p> Read more: <a rel="" href="https://crypto.news/bitwise-acquires-ethereum-staking-provider-attestant-with-3-7b-in-aum/"> Bitwise acquires Ethereum staking provider Attestant with $3.7b in AUM </a> </p>

Here are 5 reasons why Ethereum looks strong despite market volatility

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