cryptopotato.com
Ethereum ($ETH) has surged past the $4,200 mark for the first time since December 2024.
The latest milestone comes with a retail optimism, which is overshadowing bearish views.
Bullish Hashtags Dominate Social Media
Ether is currently trading above $4,200, and this surge has sparked optimism among traders. In fact, social media sentiment shows a strong bullish tilt, with hashtags like #buying, #bought, #bullish, and #higher trending alongside $ETH.
On the other hand, bearish commentary, including #selling, #sold, #bearish, and #lower, is appearing at roughly half the rate.
Crypto analytics platform, Santiment highlighted the growing retail-driven enthusiasm but warned that excessive FOMO could temporarily stall the rally’s momentum if sentiment becomes overly one-sided.
Meanwhile, institutional activity has also played a major role in Ethereum’s latest climb. Since July 10, over 1.035 million $ETH worth approximately $4.17 billion have been accumulated by unidentified whales or institutions, according to pseudonymous blockchain analyst EmberCN.
The purchases were made via exchanges and institutional platforms, and coincided with a 45% price surge from $2,600 to $4,000. Most holdings are believed to belong to institutions or US-listed firms with $ETH reserves, excluding the known SBET address. The average acquisition price during this period was about $3,546, signaling large-scale strategic positioning.
Beyond market mood and accumulation, the altcoin has broken a historical supply record.
Another Milestone For Ethereum
As of August 9th, Ethereum’s circulating supply has reached a record 121 million $ETH, as per network data shared by CryptoQuant. The milestone comes nearly three years after the network hit 120 million $ETH on August 22, 2022, following a slow but consistent increase.
Ethereum currently issues around 2,500 to 3,000 $ETH daily. While new $ETH is minted daily, staking continues to play a significant role in shaping net supply growth.
Every $ETH locked in staking contracts is temporarily effectively removed from circulation, which offsets a portion of new issuance and acts as a check on inflation. In total, Ethereum has minted approximately 157.18 million $ETH to date. This figure is achieved after combining the 121 million in circulation and over 36.18 million locked in staking.
The dual mechanism of issuance and staking-driven absorption creates a balance in the network’s monetary base. Although the deflationary narrative has softened for now, the long-term price impact will hinge on whether network activity can justify the growing supply.
If demand lags, inflationary pressure could weigh on valuation; if it matches or exceeds supply growth, the expansion may support continued price stability or appreciation.