Ethereum News Today: Ethereum Surges 25% in Week, Nears $4,000 on Bullish Sentiment

Ethereum (ETH) is once again capturing the attention of the cryptocurrency market, with its price surging towards the $4,000 level. This upward momentum has been driven by a combination of bullish technical indicators and positive market sentiment. According to analysis by charting platform TrendSpider, Ethereum is on the verge of a significant breakout, having reclaimed the $3,800 level and pushing past key resistance zones around $3,000 and $3,200 in mid-July. This breakout has unleashed strong buying momentum, propelling ETH to highs near $3,800.

The platform’s analysis identified a well-formed cup-shaped pattern that developed over the past six months, which often precedes significant upside moves. The volume profile indicates significant prior trading activity in the $2,500 to $3,000 zone, suggesting that former resistance has become strong support. This pattern, combined with the recent price action, suggests that Ethereum is poised for further gains.

Market sentiment remains upbeat, with a poll conducted by TrendSpider finding that 80.5% of respondents expect Ethereum to reach $4,000 in 2025. More bullish projections see ETH climbing to $5,000 (41%), $6,000 (26.5%), $7,000 (17.5%), or even $8,000 (13.5%). This optimism is fueled by institutional inflows and whale activity, with Ethereum ETFs recording significant net inflows and whales making large purchases.

For instance, on July 18, Ethereum ETFs recorded $402.5 million in net inflows, surpassing Bitcoin’s $363.4 million. This activity was driven by BlackRock’s ETHA, pushing total ETH ETF assets to $18.37 billion. On-chain data also showed a whale purchasing 13,462 ETH (about $50 million) at $3,715. This institutional and whale activity indicates strong confidence in Ethereum’s future performance.

At the time of reporting, Ethereum was trading at $3,745, up more than 5% in the last 24 hours and 25% over the past week. This strong performance places Ethereum in a robust uptrend, trading above its 50-day simple moving average (SMA) of $2,674 and 200-day SMA of $2,357. However, the 14-day RSI at 84 indicates overbought conditions, suggesting a short-term pullback could occur despite the bullish momentum.

The recent price action in Ethereum has been influenced by broader market trends and developments, including the growing adoption of decentralized finance (DeFi) applications and the increasing use of non-fungible tokens (NFTs). These factors have contributed to the overall bullish sentiment in the cryptocurrency market, with Ethereum emerging as a key player in the ongoing rally. As Ethereum continues to gain traction and adoption, it is likely to remain a significant force in the cryptocurrency market, potentially reaching the $4,000 mark and beyond.