USDT On Ethereum Surges As ETH Faces Seasonal Patterns

For the first time, the supply of USDT on Ethereum has surpassed that on TRON, marking a significant shift in stablecoin dynamics.

Over the past month, the USDT supply on Ethereum increased by approximately $20 billion, showcasing the growing preference for Ethereum as a stablecoin network.

Historically, Ethereum ($ETH) has struggled during the first two weeks of December, a seasonal trend currently playing out. However, this pattern often sets the stage for a strong rally in the third week of December. If this trend repeats, the current dip could be the last before a potential breakout.

Adding to the intrigue, two dormant wallets—likely controlled by the same entity—recently made significant Ethereum purchases.

These wallets spent 10.12 million USDT to acquire 2,736 ETH at an average price of $3,699 just an hour ago. Interestingly, the wallets had withdrawn their stablecoins from Binance a year ago but only initiated their first purchases now, suggesting strategic timing aligned with market conditions.

Ethereum Spot ETFs Attracts Massive Inflows 

Ethereum spot ETFs have also continued to attract strong inflows. On December 10, the total net inflow reached $306 million, marking 12 consecutive days of positive inflows. Fidelity’s ETF (FETH) led the way with daily net inflows of $202 million, while BlackRock’s ETF (ETHA) saw inflows of $81.66 million per day.

These developments underscore a growing interest in Ethereum, both from stablecoin users and institutional investors. As the seasonal dip appears to align with historical trends, the coming weeks could prove pivotal for Ethereum’s price trajectory, potentially signaling the start of a decisive upward movement.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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