Ethereum News Today: Ethereum Eyes $4,000 Breakout After Record ETF Inflows and Whale Accumulation

Ethereum appears to be entering a phase of consolidation ahead of a potential upward move, according to analysts. Recent price action has seen ETH drop 5.31% in 24 hours, currently trading at $4,404.66, while technical indicators suggest bearish momentum on the 4-hour chart. The price has formed a lower high and is now targeting support around $3,880. MACD indicators are in bearish territory, and the Alligator moving average is curling downward, signaling a potential continuation of the decline unless bullish momentum regains control [1].

Despite the short-term weakness, market sentiment remains resilient. Whale activity on Hyperliquid shows over 80% of large traders are maintaining long positions, with minimal unrealized losses in wallets holding between $1M and $14.5M in ETH. This suggests strategic accumulation rather than panic selling [1]. Institutional buying has also intensified, with Ethereum spot ETFs recording $2.85B in weekly inflows—the highest on record. BlackRock alone has added $2.32B to its ETH holdings this week, far outpacing its Bitcoin investment [1].

Exchange reserves have hit record lows, with only 18.5 million ETH remaining on centralized platforms. This shrinking supply could exert upward pressure as demand increases. The combination of strong institutional buying, whale positioning, and declining exchange reserves reinforces the idea that Ethereum is being laid out for a long-term bullish narrative despite short-term volatility [1].

Analysts note that a retest of the $3,800–$4,000 range is a likely scenario, with this zone acting as a key consolidation area before the next leg higher. Some view this pullback as a necessary correction to allow for price discovery and to test the strength of buyer participation. Meanwhile, a weekly close above $4,000 could confirm a breakout from the recent resistance range and set the stage for a broader upward trend [2].

Fundamental factors also remain supportive. Institutional demand continues to grow, and regulatory clarity is attracting more capital into the space. While speculative forecasts from some analysts predict Ethereum could reach as high as $12,000–$15,000 by year-end, these remain forward-looking estimates and are not current price targets [2].

The immediate focus remains on whether Ethereum can hold above critical support levels. A weekly close above $4,000 has historically been a key confirmation point for a sustained rally. With strong fundamentals, growing institutional interest, and a favorable macroeconomic environment, Ethereum remains a key focal point in the cryptocurrency market as it seeks to break into a new price range [1][2].

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[1] title1.............................(https://coinmarketcap.com/community/articles/68a06cb66e3bd716f83327d6/)

[2] title2.............................(https://www.newsbtc.com/news/ethereum-eyes-final-boss-level-but-analyst-says-weekly-close-is-key/)