Ethereum still 39% below ATH - But 3 reasons why ETH could rally

Ethereum

Ethereum still 39% below ATH – But 3 reasons why ETH could rally

Three catalysts – One potential ETH breakout

Source: Artemis

According to Artemis, Ethereums Stablecoin Supply stood at $131.88 billion at press time. Meanwhile, Transfer Volume dropped to $35 billion.

If inflows continue rising, it suggests capital is accumulating on-chain and waiting for deployment. Historically, growing stablecoin reserves have preceded higher network activity, a gap Ethereum has struggled to close this year.

large U.S. banks would be allowed to engage with Ethereum directly. This would significantly expand adoption, market legitimacy, and capital flows.

Finally, by resolving turf wars such as SEC vs. CFTC and lawsuits like Ripple vs. SEC, the Act could clear long-standing regulatory fog.

The resulting clarity could encourage sidelined institutional investors to re-enter the market—fueling demand organically.

Derivatives surge signals institutional buildup

At press time, Options Open Interest jumped 9.04% to $9.88 billion, while Options Volume spiked 96.74% to $2.26 billion, both per CoinGlass data.

ETHs overall Open Interest climbed to $43.59 billion.

Source: CoinGlass

The Options market is dominated by institutional participants, making these metrics a clear signal of rising smart money participation.