Eric Conner, a former core developer of Ethereum, has outlined compelling signs that Ethereum may be on the brink of a major price breakout.
His analysis points to growing stablecoin usage, strong ETF inflows, and rapidly declining exchange reserves as the catalysts.
Conner emphasized that stablecoin transfer volume has surged for 21 straight months, now nearing levels seen on Visa’s payment network. He views this as a clear indicator of rising demand for Ethereum block space, which fuels ETH’s value as the network’s economic engine.
At the same time, spot Ethereum ETFs recorded $1.17 billion in net inflows in June alone. With expectations of much larger allocations later this year, institutional appetite for ETH appears to be accelerating. Fund managers are reportedly preparing for increased exposure in the second half of 2025, suggesting long-term confidence in Ethereum’s future role in finance.
Perhaps most notably, ETH reserves on centralized exchanges have dropped to just 9 million coins — a figure not seen since 2015. This shrinking supply, Conner argues, is creating upward pressure on price. As available ETH becomes scarcer on exchanges, any surge in demand could trigger a steep rally, particularly if retail and institutional interest converge.
He also pointed to Ethereum’s recent price consolidation between $2,400 and $2,600, suggesting that a decisive breakout above the current range could unleash a sharp rally. According to Conner, this kind of sideways movement often precedes sudden volatility, and given the current supply-demand dynamics, the next move could be swift and aggressive.
The broader implication of his analysis is that Ethereum may be transitioning into a new phase — where its growing utility, deepening institutional involvement, and reduced liquid supply all work together to create a powerful bullish environment. If these trends persist, the market may soon witness an explosive shift in ETH’s valuation.
