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Ether Rally generates inflow of over US$300 million in ETH for cryptocurrency exchanges: Nansen | Currency News | Financial and business news
Ether {{ETH}} holders are sending assets to cryptocurrency exchanges at the fastest pace in nearly four months following the cryptocurrency’s rally on growing expectations of approval of a US spot exchange-traded fund.
Blockchain data by Nansen Intelligence shows that net exchange inflows on Tuesday reached 81,840 ETH, worth about $306 million at current prices, the highest single-day value since January 23.
Tuesday was also the third consecutive day of inflows, marking a break in the general trend of decreasing ETH balances on exchanges, Nansen data shows. The last time ETH experienced consecutive days of exchange inflows was in March, near this year’s peak in cryptocurrency prices.
The movement of assets to exchanges generally signals an intention to sell, while traders typically withdraw tokens from platforms if they want to maintain purchases for a longer term.
The rising inflows could signal near-term profit-taking after ETH rose to over $3,800 from around $3,000 in one day, observed David Shuttleworth, research partner at Anagram.
“My sense is [that] individuals are picking up on a rapid 30% price increase that occurred in less than 24 hours,” Shuttleworth said in an X direct message.
The rally came as the chances of a US regulatory approval for spot ETH ETFs increased almost overnight, with regulators asking issuers to update their applications after months of lack of engagement.
See more information: Ether ETF filing process sees abrupt progress, although approval not guaranteed: sources
This story originally appeared on Coindesk