- Ethereum’s 7-day negative Spot Netflow shows steady accumulation; whales cut exchange activity, with their netflow ratio falling sharply.
- Market makers returned with accumulation-heavy moves; Wyckoff analysis finds this pattern outweighing distribution beneath ETH’s price stability.
Ethereum ETFs recorded eleven consecutive days of net inflows. These inflows totaled over $630 million. Bitcoin ETFs experienced three consecutive days of outflows exceeding $1.2 billion during the same period. Tracy Jin, COO of MEXC exchange, identified this divergence as capital rotation. She stated this movement could benefit Ethereum and select other digital assets.
Jin observed Ethereum ETF performance occurred despite uncertain macroeconomic and geopolitical conditions. Bitcoin ETF flows showed a partial recovery on Tuesday. Ethereum maintained its lead with $187 million in net inflows that day. This contrast coincided with price gains for certain altcoins. Monero (XMR), Ethena (ENA), Hyperliquid (HYPE), Aave (AAVE), and Arbitrum (ARB) each rose more than 5% during Tuesday’s trading. Bitcoin’s gain measured 0.6%.
“Other coins like XMR, ENA, HYPE, AAVE, and ARB are following ETH, posting more than 5% gains in contrast to BTC’s muted 0.6% gain during Tuesday’s recovery rally.”
Bitcoin’s market dominance, representing its share of total cryptocurrency market value, decreased by 1% in June. It has fluctuated near 63% for the past two weeks. Historical patterns suggest further decreases in Bitcoin dominance often precede altcoin price increases.
A 5% drop in Bitcoin dominance in early May preceded price surges exceeding 300% for tokens like HYPE. Sector performance data shows DeFi tokens gained 28% over the past month. Memecoins rose 22%, and Layer 1 tokens increased 10%. Layer 2 tokens generally underperformed other segments.
“Altseason may not be in full effect just yet, but the conditions are aligning. The early groundwork for altseason is currently being laid, and this time, institutional capital is coming along for the ride.”
Jin indicated these conditions could lay groundwork for broader altcoin appreciation. She noted institutional capital appears involved in this shift. However, she clarified a full altcoin season has not yet materialized in 2025.
Gains remain concentrated in specific tokens and sectors. Should Bitcoin dominance continue easing, assets within the strongest performing categories may see the largest benefits based on recent trends.
Ethereum Accumulation Intensifies as Market Makers Return, Signaling Potential Breakout
Ethereum’s Spot Netflow remained negative for seven consecutive days. This metric indicates more ETH left exchanges than entered them during this period. Such consistent outflow patterns typically reflect accumulation activity across market segments.
Market makers recently resumed participation with observable accumulation-heavy behavior. Joao Wedson, founder of Aphractal, identified this return using Wyckoff analysis methods. His assessment noted accumulation currently outweighs distribution activity beneath Ethereum’s surface-level price stability.
🚨 Market Makers in Action on Ethereum!
They're accumulating and distributing Ethereum and hundreds of altcoins non-stop. The longer this accumulation lasts, the bigger the move will be!I'm currently LONG on ETH, but if it drops below $2,556, that's bearish. A breakout above… pic.twitter.com/KeeDaD5pAB
— Joao Wedson (@joao_wedson) June 4, 2025
Supporting data shows the Large Holders Netflow to Exchange Netflow Ratio dropped sharply from 4.28% to 0.62%. This decline suggests whales reduced exchange-related transactions, aligning with accumulation behavior rather than distribution.
Concurrently, the ETH Taker Buy-Sell Ratio turned positive over the past day. A positive ratio confirms executed buy orders exceeded sell orders.
It signals buyers accepted asking prices more frequently, reinforcing accumulation evidence.
Ethereum (ETH) is trading at $2,649.40 USD, up +2.10% on the day. ETH has continued its strong recovery, gaining +46.55% over the past month, although it still shows a −20.44% year-to-date decline and −30.04% over the last six months, reflecting the significant correction earlier this year. Its current trading range places it near key resistance, with market watchers closely monitoring the $2,700 level for a potential breakout.
Technically, Ethereum is forming a bullish continuation pattern, with many analysts highlighting an ascending triangle and bullish pennant on the daily chart. A confirmed breakout above $2,700–$2,720 could trigger the next leg toward $3,000, while immediate support lies around $2,450–$2,500.
On the fundamental side, Ethereum is seeing a surge in ecosystem activity. BlackRock has reportedly sold large volumes of Bitcoin to increase ETH exposure, and several companies—including BioNexus Gene Labs and SharpLink Gaming—are actively building Ethereum treasuries.
Additionally, Ethereum’s Layer 2 infrastructure and tokenization use cases are accelerating adoption by financial institutions. This wave of institutional support is bolstering demand and positioning ETH as a leading platform for enterprise-grade decentralized applications.
