Ethereum News Today: Ethereum Eyes $5,000 as Bull Pennant and Network Activity Signal 134% Upside Potential

Ethereum’s price has drawn attention from analysts and traders as it inches closer to $5,000, supported by a bullish technical pattern known as a bull pennant. The setup suggests a potential 134% rally from current levels, with $5,000 as the next price target [1]. This development coincides with a surge in network activity, as total weekly transactions on the Ethereum blockchain reached an all-time high of 11.9 million, while daily transactions hit 1.92 million — the highest in one and a half years [2].

According to a market analyst known as the Titan of Crypto, Ethereum’s next move depends on its ability to break out of the $4,000 resistance level, which has previously rejected the price four consecutive times [3]. A successful breakout would confirm the bull pennant pattern and potentially shift the short-term trend higher. On the downside, support is seen between $3,500 and $3,600, which has so far prevented further declines [4].

In addition to price action, a key indicator to watch is Ethereum’s dominance over Bitcoin. A trader on X highlighted a significant resistance level on the ETH/BTC chart, where a successful breakout could signal a major shift in liquidity from Bitcoin to Ethereum. Historically, a similar pattern in 2021 led to a 30% price rally [5]. If the current setup mirrors that outcome, Ethereum could surpass $4,400 in Q3 2025, a target that aligns with a forecast from The Coin Republic.

Ethereum’s strong fundamentals are also reflected in growing on-chain metrics. Open interest in Ethereum derivatives increased by 4% in the last 24 hours, reaching $4.89 billion [6]. Moreover, a whale acquisition of $122.96 million in Ethereum over two days has sparked discussions around institutional confidence in the ecosystem, with some attributing the buying pressure to Ethereum’s recent upgrades, such as the blob capacity adjustment [7].

Market expert Tom Lee recently told CNBC that Ethereum is well-positioned to reach $16,000 in the future, citing the growing reliance on tokenization in the AI and robotics sectors, where Ethereum’s smart contract infrastructure is a dominant player [8]. While such a forecast remains speculative, it underscores the broader sentiment of long-term optimism among crypto investors.

With growing transaction volumes and multiple bullish technical indicators, Ethereum is underpinned by both short-term and long-term factors that could drive its price higher. However, the $4,000 level remains a critical price point to watch, as repeated failures to breach it could signal further consolidation or even a pullback.

Source:

[1] [Ethereum Price Eyes $5,000 as Transactions Hit 1-year High](https://coinmarketcap.com/community/articles/689631b71214ff464aa190a0/)