Ethereum (ETH) Bullish Signals Mount: Realized Cap Surges, Exchange Supply Hits Low, Golden Cross Forms

Ethereum is showing renewed strength as both technical and on-chain indicators align for a potential breakout. One big reason for this optimism is the jump in Ethereum’s Realized Cap since the Pectra upgrade went live earlier this month; this key metric surged by $3.8 billion.

Data from Glassnode (also highlighted on their X account) shows the Realized Cap rose from $240.8 billion on May 7 to $244.6 billion by May 19, a notable 1.6% increase. Importantly, this rise also breaks a three-month downtrend that began in February. Such a shift in market momentum often indicates fresh capital is flowing back into Ethereum, which reinforces its long-term value picture.

A critical on-chain development is Ethereum’s declining exchange supply. According to analytics firm , less than 4.9% of the total ETH supply is currently on centralized exchanges. This is the lowest in Ethereum’s ten-year history and signals increased investor confidence in holding rather than selling.

Similarly, Bitcoin’s exchange supply has fallen to 7.1%, the lowest since November 2018. Over the past five years, 1.7 million BTC and 15.3 million ETH have left exchanges, suggesting a macro trend toward self-custody and long-term holding.

Moreover, Lookonchain data reveals that Abraxas Capital resumed after a short pause. The firm added 46,295 ETH worth $115.3 million recently. Since May 7, Abraxas has acquired 350,703 ETH for $837 million at an average price of $2,386.

With ETH now trading at $2,487, the firm holds an estimated $50 million in unrealized profits. This level of institutional buying further validates the growing bullish sentiment in the market.

Technical indicators are also flashing green. Crypto analyst Crypto Patel highlighted a Golden Cross on the 12-hour Ethereum chart. The 50 EMA has crossed above the 200 EMA, a pattern typically viewed as bullish after a prolonged downtrend.

The last time Ethereum a Death Cross, it plunged 57%. Hence, this opposite crossover may signal the beginning of a significant rally.

Support is holding firm around $2,200, while resistance appears near $2,800. If momentum continues, Ethereum could target levels between $3,800 and $5,000 in the coming weeks. The price of ETH as of press time sits at with a 24-hour gain of 3.58%, despite a slight 1% decline over the past week.