Ethereum ( ETH ) price prediction: Massive stablecoin inflow could drive ETH to challenge $10,000 in early 2026.

Ethereum (ETH) is at a critical moment, facing a directional choice. On one hand, traders on Binance are exhibiting extremely strong bearish sentiment, with the buy/sell ratio dropping to its lowest point of the year. On the other hand, a large influx of stablecoins continues, and the total supply has reached a new high, indicating that there is significant potential buying power in the market. This contradictory phenomenon may signal that the price of ETH is about to experience a sharp fluctuation, with its trend depending on the outcome of the struggle between short-term bearish sentiment and long-term capital inflow.

Market Sentiment: Bearish Sentiment Among Traders Rises to Yearly Low

Ethereum is becoming the focus of market attention. On Binance, ETH traders are exhibiting an unusually strong bearish sentiment, with the buy/sell ratio for September 19 dropping below 0.87. This has only occurred twice this year. Data shows that when ETH hovers around the historical high of about $5,000, significant short positions are being established. Similar lows in January and February were accompanied by prices dropping below $1,500. As of the time of writing, the 7-day average of this ratio remains at 0.93, marking the lowest point of the year.

This may indicate a potential risk of a pullback, but the extreme bearish consensus may also trigger a short squeeze when buying pressure returns.

On-chain Data: Huge Stablecoin Inflows, Potential Purchasing Power is Astonishing

Despite a strong bearish sentiment in the short term, on-chain data shows a completely opposite picture. The supply of stablecoins on Ethereum has surged to a new all-time high of approximately $173 billion, increasing by $50 billion since the beginning of the year. This massive inflow of stablecoins indicates that there is considerable potential buying power waiting, which could fuel a strong rebound and potentially drive ETH to reach $10,000 by early 2026.

Analyst TedPillows pointed out on X that ETH has been consolidating below its historical high from 2021. He added that previous patterns show that after reaching historical highs, the price typically experiences a pullback of at least 25% or more. A similar pullback this time could bring the price down to around $3,700-$3,800 before it resumes an upward trend.

Technical Analysis: Price Trapped in Key Range, Bulls and Bears in Tug-of-War

Under the influence of all these factors, the price trend of Ethereum is entering a critical phase. The chart shows that the ETH price is consolidating between $4,470 and $4,500, with short-term support around $4,460 and direct resistance around $4,495. The Relative Strength Index (RSI) shows neutral momentum, while the Moving Average Convergence Divergence (MACD) indicates a slight bearish tendency, but a strong trend has not yet formed.

In the short term, breaking through 4,495 USD may trigger a rebound towards 4,550 USD, while a drop below 4,460 USD could open up a downward channel towards 4,400 USD.

Conclusion

The market dynamics of Ethereum are at a high-risk turning point. On one hand, extreme bearish sentiment is building up on the exchanges, which could trigger a sharp short-term correction. On the other hand, the stable on-chain huge capital reserves indicate significant buying potential, enough to drive prices up substantially in the future. The current consolidation resembles an intense tug-of-war between bulls and bears. The price movements in the coming days will be crucial, as they will ultimately determine whether the short-term bearish sentiment leads to a dominant pullback or whether the strong rebound driven by long-term capital inflows will take over market leadership.