Ethereum News Today: Ether Price Consolidation Seen as Analysts Expect Gradual Path to All-Time Highs

Ether holders hoping for a rapid return to all-time highs may need to adjust their expectations as analysts suggest a more gradual path lies ahead. Despite Ether (ETH) currently trading just 2.07% below its all-time high of $4,779, Nansen analyst Jake Kennis warns that price consolidation is likely due to the asset’s rapid appreciation over a short period [1]. This could mean ETH holders must wait weeks or even months before seeing a breakout to new record levels [2].

Kennis points to the recent volatility as a key factor in the delay. After hitting $4,779 on Thursday, ETH retraced to $4,634, prompting some traders to question the timing of a potential new peak [3]. While institutional and ETF interest remains strong, Kennis argues that this alone may not be enough to trigger a sharp upward move in the near term. “With ETH near its previous ATHs, we may consolidate for a bit, given the very large run-up in such a short time frame,” he said [1].

Indeed, the market has already seen a significant surge, with Ether up 215% since April. Kennis expects this momentum to hold as long as bullish flows and narratives remain intact. “The rally will hold as long as the flows and narrative remain strong,” he noted, adding that ETH ETF inflows have even outpaced BTC flows in recent days [1].

This trend was evident on Monday, when spot ETH ETFs recorded $1.01 billion in net inflows, the highest single-day total to date. At the same time, corporate ETH holdings rose to $13 billion as the price broke $4,300, led by firms like BitMine, SharpLink, and The Ether Machine [1].

Not all analysts agree on the timing, however. Bitwise’s chief investment officer, Matt Hougan, highlighted that Ethereum’s narrative has improved significantly due to institutional adoption and ETF structures [1]. Meanwhile, some traders remain optimistic that a new peak is imminent. On Thursday, crypto trader Ardizor speculated that ETH could reach all-time highs in just days [1], while others like Pentoshi predicted a new ATH in the very near future.

Market sentiment platforms such as Polymarket reflect this optimism, with bettors assigning a 65% probability of ETH hitting $5,000 before the end of August and a 90% chance of reaching $4,800 [1]. Despite these bullish forecasts, Santiment noted that retail traders remain skeptical, and this skepticism has historically led to price reversals as expectations shift [1].

In summary, while the path to an all-time high for ETH remains uncertain, the current environment is marked by strong institutional flows and growing ETF interest. However, analysts caution that patience is key as the market digests recent gains and prepares for the next phase of its rally.

Source: [1] https://coinmarketcap.com/community/articles/689ece01d02dae1017d48605/