Ethereum Surges 17% to $3,065 on Institutional Interest and Bullish Patterns

Ethereum's price has recently surged, reaching a new local high of $3,065 after gaining over 17% in the past week. This significant move comes as institutional interest in Ethereum grows, driven by substantial inflows into Spot Ethereum ETFs and Bitcoin's recent climb to new all-time highs. The price action has formed a 'cup and handle' pattern, a bullish technical structure that suggests a potential rally toward new all-time highs.

One analyst, known as @CryptosBatman on the social media platform X, identified a pure 'cup and handle' pattern on Ethereum's daily candlestick chart. This pattern, which began in early March, shows a rounded bottom that dipped to as low as $1,400, followed by a minor consolidation that formed the handle portion. The recent price action has caused ETH to break out of the neckline around $2,850. A technical projection from this neckline points to a 45% move to a price target just below $4,200. According to this analyst, Ethereum’s breakout from the cup and handle pattern has formed in the middle of powerful fundamentals. Ethereum is now beginning to outperform Bitcoin in terms of short-term returns, and exchange reserves have dropped to an eight-year low. These are both fundamental signals of strong holding behavior and reduced sell-side pressure. With these metrics aligning with the technical breakout, @CryptosBatman believes Ethereum could be next in line to break its all-time high, possibly before the end of Q3.

Another crypto market technician, CryptoBullet, shared a similar outlook on the social media platform X. This analyst referenced Ethereum’s weekly candlestick chart to support his outlook. He pointed to the formation of last week’s massive green breakout candle that has pushed the price above a major supply-resistance zone around $2,850. This move mirrors the same structure that caused a 42% rally between February and March 2024, when ETH moved from the $2,900 level up to nearly $4,100 within a matter of weeks. If that price action is replicated in this current setup, Ethereum could again be on track to test $4,200 in the next three to four weeks. This puts the timeline of a $4,200 price target sometime in August 2025. The projection relies on the $2,800 price level, which previously acted as resistance, now flipping to support and preventing any sustained retracements below the $2,900 to $2,850 range.

At the time of writing, Ethereum is trading at $2,980, having reached an intraday high of $3,074. The formation of the 'cup and handle' pattern, coupled with strong fundamentals, suggests that Ethereum is poised for a significant rally. The technical projections from both analysts point to a potential price target of $4,200, with the timeline for this target set sometime in August 2025. The current price action and technical indicators align with the bullish outlook, indicating that Ethereum could be on the verge of breaking its all-time high.