Ethereum News Today: BlackRock's ETF Dominance Fuels Ethereum's Bullish Breakout

Ethereum’s price recently reached a critical juncture as it tested the $4,150 support level, a key threshold in its multi-month bullish trend. The altcoin closed the week at $4,475, achieving its highest weekly close since November 2021, driven largely by ETF inflows and surging network activity. BlackRock’s Ethereum ETF, ETHA, led the inflows, recording a massive $1.02 billion on August 11 alone. According to data from Farside Investors, ETHA now holds over $12.6 billion, representing nearly 58% of all Ethereum ETF holdings. This dominance has fueled the recent price surge, with analysts attributing much of the momentum to ETF-driven buying pressure.

The surge in demand is also reflected in increased transaction activity on the Ethereum network. According to Nansen, Ethereum recorded 1.74 million daily transactions on August 5, a record for the month. In July alone, over 46.67 million transactions were processed, driven by stablecoin transfers, decentralized finance (DeFi) activity, and growth on layer-2 solutions. These factors indicate a robust network usage environment, further reinforcing the bullish narrative.

However, the price remains in a consolidation phase as it hovers near $4,300, with several key levels to watch. The immediate support zone lies around $4,100 to $4,000, which previously acted as a resistance in 2021 before flipping to a support area. According to Glassnode data, $4,150 is a particularly crucial level, where 341,000 ETH tokens were accumulated. Analyst Demi-Defi noted that as long as the weekly close holds above $4,150, dips can be viewed as consolidation, but a break below this level could trigger a deeper correction toward $3,650–$3,750. On the upside, a weekly close above $4,550 could signal a potential breakout toward new all-time highs, with targets between $5,000 and $5,800.

Wall Street analyst Tom Lee has also weighed in on Ethereum’s near-term trajectory. In a recent post, he projected a pullback to $4,075–$4,150 before a potential rally to $5,100. Lee emphasized that the pullback is a healthy correction and aligns with an Elliot Wave analysis. The ETH/USD pair has already experienced a rebound from the $4,000 level, reinforcing the idea that this area could become a strong support. Additionally, CoinGlass data shows that top Binance traders have increased their long positions in ETH, further supporting the bullish sentiment.

Despite the recent strength, Ethereum has faced some short-term headwinds. U.S. investor demand has dipped, according to the Coinbase Premium Index, and the recent correction triggered significant profit-taking from small-scale holders. However, large-scale investors, particularly Ethereum whales and corporate treasuries, have remained resilient. Over the past week, whales accumulated over 550,000 ETH despite a 10% price decline. Corporate entities hold nearly $17.3 billion in ETH, representing 3.4% of the total supply, further contributing to the bullish backdrop.

Looking ahead, the market will closely monitor Ethereum’s ability to reclaim key resistance levels, particularly $4,500 and $4,868. A sustained move above these levels could validate a bullish pennant pattern and set the stage for a new all-time high. Conversely, a failure to hold above $4,150 could result in a deeper correction, testing the resilience of ETH bulls. With ETF inflows continuing and network activity surging, Ethereum remains a focal point in the broader cryptocurrency market.

Source:

[1] Ether sets highest weekly close in 4 years (https://cointelegraph.com/news/ethereum-sets-highest-weekly-close-in-4-years-watch-these-eth-price-levels)

[2] Ethereum prediction: 'Pullback to $4150' before $5.1K (https://ambcrypto.com/ethereum-pullback-to-4150-by-midweek-then-5-1k-tom-lee-predicts)

[3] Ethereum Price Forecast: ETH bounces off ... (https://www.fxstreet.com/cryptocurrencies/news/ethereum-price-forecast-eth-bounces-off-4-100-as-whales-show-resilience-202508210112)

[4] Ethereum whale opens $16.3M long as ETH price eyes ... (https://cointelegraph.com/news/ethereum-whale-opens-16-3m-long-as-eth-price-eyes-bounce)

[5] Ethereum Price Prediction: ETH at $4350 – $10K Next? (https://cryptonews.com/news/ethereum-price-prediction-eth-4350-10k/)

[6] Top 3 Price Prediction: Bitcoin, Ethereum, Ripple – BTC ... (https://www.fxstreet.com/cryptocurrencies/news/top-3-price-prediction-bitcoin-ethereum-ripple-btc-eth-and-xrp-key-supports-break-as-correction-deepens-202508200406)