Ethereum News Today: Ethereum Stabilizes at $3,500 as $4,000 Rally Looms

Ethereum (ETH) traders and analysts are increasingly focused on a potential retest of key support levels before the asset’s price could surge toward a $4,000 milestone. Recent price movements indicate ETH has stabilized around the $3,500 mark following a pullback in late July, with traders anticipating a consolidation phase or a deeper test of the $3,300 to $3,500 range before a bullish breakout. Independent market analysts, including Adam and Michael Van de Poppe, have highlighted the presence of sell walls near $4,000, which may cap upward momentum until these barriers are resolved [1][4]. Van de Poppe specifically noted that liquidity on the long side could be exploited during a retrace to the $3,500–$3,300 zone, a move seen as a prerequisite for a rally past the $4,000 resistance [1].

The recent price action aligns with broader market developments, including the launch of multiple Ether treasuries. Since June, institutional buyers such as Bitmine Immersion Tech and SharpLink Gaming have accumulated over 927,600 ETH, while Ethereum spot ETF inflows have exceeded $1.84 billion in the last week, with total net assets now surpassing $20.6 billion [1]. Despite these institutional purchases, the stocks of the aforementioned companies have declined in recent weeks, following significant gains earlier in the year. This volatility underscores the speculative nature of the market, even as long-term fundamentals for Ethereum remain positive.

From a technical perspective, ETH’s higher time frame structure suggests a confirmed inverse-head-and-shoulders pattern with a projected target of $4,300. However, neutral funding rates and cautious positioning around the $4,000 resistance level indicate risk-on traders remain hesitant to aggressively use margin [1]. Analysts caution that a pullback to as low as $2,500 or even $1,700 could occur before the next major upward move, emphasizing the need for key support zones to hold for the bullish case to remain valid [3][7]. This cautious outlook is further reinforced by the Federal Open Market Committee (FOMC) meeting, which could influence broader risk appetite and crypto valuations in the coming weeks.

While Ethereum’s trajectory is being closely watched as a bellwether for the crypto sector, its price action has diverged from Bitcoin’s recent consolidation. ETH’s 8% rebound to $3,730 after testing the $3,500 support in mid-July has fueled optimism, particularly given the asset’s 10-year anniversary on July 30 and a 5% supply contraction from burned or lost tokens [1][2]. A successful breakout above $3,800 would not only validate the $4,000 target but also signal renewed confidence in Ethereum’s fundamentals, according to analysts from Mitrade and CoinDCX [5].

The broader market environment remains speculative, with altcoins like SUI surging 15% and Bitcoin testing $120,000. However, Ethereum’s specific dynamics—driven by institutional demand and technical patterns—are seen as critical to the sector’s overall health. Traders are positioning for a high-probability long scenario should ETH rebound from the $3,000–$3,200 range, a strategy supported by historical precedents in similar market conditions [4].

Source: [1] [Ethereum bulls aim for $4,000 mark](https://www.mitrade.com/insights/news/live-news/article-3-990554-20250728) [2] [Ethereum's 5% supply reduction fuels $4K push](https://www.ainvest.com/news/ethereum-news-today-ethereum-5-supply-reduction-6-mln-eth-burned-lost-fuels-4k-push-price-tests-3-800-resistance-2507/) [3] [Ethereum price prediction for July 2025](https://coindcx.com/blog/price-predictions/ethereum-price-weekly/) [4] [ETH may retest $3,000–$3,200 support](https://www.tradingview.com/symbols/ETHUSDT.P/ideas/?exchange=BLOFIN) [5] [Ethereum nearing $4K as Bitcoin consolidates](https://www.bitcoininsider.org/article/280645/crypto-price-today-bitcoin-consolidates-after-weekend-rally-altcoins-shed-gains-eth) [6] [Ethereum price retests $3,500 support](https://www.binance.com/en/price/monbase) [7] [Ethereum pullback to $2,500 or $1,700 possible](https://www.tradingview.com/symbols/ETHSOL_9HM8QX.USD/ideas/page-2/?asset=base)