Even though Ethereum is facing bearish action after a pullback from its all-time high a few days ago, the second-largest crypto asset is still holding remarkably well above the $4,000 price mark. There has been a notable bullish response from ETH investors in the midst of the waning price action, as indicated by a rise in demand.

Demand For Ethereum Is Returning

Ethereum has continued its downward trend as the broader crypto market exhibits bearish action. Despite the continued negative pressure on price, Darkfost, an author and market expert, has disclosed a resurgence in sentiment among Ethereum investors on the largest crypto platform, Binance.

Darkfost highlighted that Ethereum’s market dynamics are shifting once again as fresh data reveals a sharp decline in reserves held on Binance. While demand for the leading altcoin has gained substantial traction in the broader crypto sector, the number of ETH on the crypto platform declined by about 10%.

This significant decline implies that investors are removing ETH from centralized platforms, a behavior frequently linked to long-term accumulation and growing confidence. During this period, increased market activity has been driven by rising demand, suggesting a potential supply squeeze that would intensify Ethereum’s next significant price rise.