Ethereum has stayed above the $3,000 mark since the start of the year as gold and silver continued to make new highs. The latter two have emerged as key assets for on-chain traders, with tokenization making it possible.

The altcoin is down 1% on the day, while gold and silver were up by 1% and 1.85%, respectively. Interestingly, the daily trading volumes were looking promising, but do the recent activities signify capital rotation into Ethereum?

Is capital rotation underway?

As per data from Lookonchain, a whale swapped tokenized gold [XAUT] and iShares Silver Trust Tokenized ETF [SLVon] to ETH. This came as the two metals hit new peaks, igniting profit-taking.

The whale dumped 326 XAUT worth $1.53 million and 10,978 SLVon valued at $936K for 724 ETH valued at $2.40 million. This action signaled capital rotation, which could be a precursor to a crypto market rebound.

Source: Lookonchain

Meanwhile, there were other whales that were still accumulating silver. Data from BSCscan showed that a user bought more than 593 SLVon worth $50K.

The results indicated that it was not yet a complete capital rotation, but institutions and whales were making a new case.

ETH accumulation intensifies

For instance, Ethereum ETFs saw more than $520 million in capital injection, further backing the aforementioned rotation. This accumulation totaled 158,545 ETH since the 29th of December, when 2025 ended.

Looking at the data on a weekly scale, it indicated that there have been positive inflows since the year started. That is, 13.9K, 8.46K, and 136.2K tokens were bought, respectively, over the past three weeks.

Source: Ali Charts/X

Whales were also stacking up ETH after the recent addition. A new wallet bought 6,000 ETH worth over $19 million from Binance and transferred them to Aave Protocol.

The market was displaying mixed feelings as some whales faced forced selling. For instance, FG Nexus sold some of its ETH holdings, while another whale closed their positions after forced liquidation.

With the data not clearly defining direction, will ETH price action clarify the projection?

Bulls defend a key support level 

The weekly price action chart showed that Ethereum was trading above its yearly open at $2,972. This supported the accumulation process that is underway for ETH.

Staying above this demand level that has proved to be attractive for whales and institutions could mean strength. Dips below the level would take out impatient holders or rather invalidate the outlook.

Source: ETH/USDT on TradingView

As more capital moves into Ethereum from gold and silver, ETH price could rally toward $4,000+. Although the timelines for this undertaking were unclear, the signs were evident.

Final Thoughts

• Capital rotates from gold and silver to ETH after the former two hit new highs.
• Whales and institutions intensified their Ethereum accumulation, defending the yearly open price.