Smart Money Buys ETH Dip as Retail Panics

Key Notes

• Ethereum holds strong above $2,500 despite pulling back from its $2,880 monthly high.
• Institutional and whale investors are accumulating ETH as retail sentiment weakens.
• Weekly new Ethereum wallet creation has climbed to nearly 1 million, signaling growing network adoption.

Ethereum ETH $2 516 24h volatility: 0.3% Market cap: $303.81 B Vol. 24h: $12.13 B is holding steady above the key $2,500 support level despite a recent correction from its monthly high of $2,880. While retail traders appear to be panicking and selling off their ETH, institutional and whale investors, often dubbed “smart money”, are quietly accumulating the asset.

According to on-chain data by Glassnode, the supply of ETH held by wallets with balances between 1,000 and 10,000 ETH has surged to a yearly high. This signals strong buying interest from large holders.

Smart money is buying $ETH while you are panic selling. pic.twitter.com/nVyyvPnt55

— Crypto Lord (@Thecryptolord_) June 19, 2025

Earlier on June 20, a whale borrowed $10 million in USDT from Aave to purchase 3,983 ETH at around $2,510. As of writing, Ethereum is trading at $2,545, showing little movement over the past 24 hours.

Whale 0x9992 borrowed 10M $USDT from Aave to buy 3,983 $ETH at $2,510.64 again 4 hours ago. https://t.co/5ygr8dsa0Z pic.twitter.com/5KcPIASWem

— Lookonchain (@lookonchain) June 20, 2025

Meanwhile, Ethereum network activity has also picked up sharply. Blockchain analytics firm Santiment reported that weekly new wallet creation has jumped to between 800,000 and 1 million. This is a significant growth from the 560,000–670,000 range seen a year ago.

📊 As Ethereum trades right at the $2,500 level, the utility and growth of the network continues looking healthier than ever. The amount of new weekly $ETH addresses created is ranging around 800K-1M per week, compared to about one third less at this point last year. pic.twitter.com/K1nxFBVlqL

— Santiment (@santimentfeed) June 19, 2025

The amount of Ether staked on the network has also hit new records. Between June 1 and June 16, more than 500,000 ETH was added to staking pools. This pushed the total staked supply above 35 million ETH for the first time.

This continued growth in staking reduces the amount of ETH available on the open market, introducing scarcity that could boost prices if demand maintains.

Spot ETH ETFs Draw Heavy Inflows

The sustained inflow of funds into spot ETH exchange-traded funds (ETFs) further confirms the bullish sentiment. Despite a brief break last Friday, these products recorded three consecutive days of fresh inflows this week.

According to SoSoValue , net inflows into spot ETH ETFs have crossed $861 million over the last two weeks, marking the highest inflow total since January. Analysts say this surge in institutional demand reflects growing confidence from traditional finance players.

Analysts on X are pointing to the $2,800 level as a key resistance. They argue that flipping this into support could trigger a “violent move upward” in price.

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