Ethereum News Today: Ethereum Surges 23% on Institutional Inflows, Whale Accumulation

Ethereum has recently confirmed a significant breakout above the $4,113 level, emerging from a broadening wedge pattern. This technical development projects a medium-term target of approximately $6,766.93, indicating a strong bullish momentum for the digital asset. The breakout is part of a larger right-angled descending broadening wedge pattern visible on the weekly ETH perpetual futures chart, which typically forms when horizontal resistance meets descending support, creating expanding price ranges driven by buyer accumulation. This wedge began forming near $1,460 and stretched up to the $4,113 mark, suggesting a shift toward a broader price expansion phase.

Institutional interest has played a crucial role in Ethereum's recent price surge. On July 18, Ethereum ETFs attracted $402.5 million in inflows, surpassing Bitcoin’s inflows for the same day. Notably, BlackRock’s ETHA ETF secured 98% of these flows, highlighting the growing institutional interest in Ethereum. The trading volume for ETH ETFs reached $2.8 billion that day, pushing total ETF assets to $18.37 billion. These inflows have amplified market confidence, contributing to the breakout’s strength and supporting the move beyond the $4,100 mark.

Whale activity has also reinforced Ethereum’s price action. A wallet identified as 0x5A8E recently spent $50 million USDT to purchase 13,462 ETH at $3,715, indicating significant accumulation by large investors. Large ETH transactions exceeded $18 billion in the past 24 hours, highlighting renewed on-chain activity. In the derivatives markets, futures open interest rose 12.79% month-over-month, reaching $786 billion. Leveraged positions, including trader James Wynn’s 25x long position totaling $12.1 million, have contributed to the upside pressure.

Ethereum’s price has broken above the 23.6% Fibonacci retracement at $3,307 and is now aiming at the 38.2% level near $3,800–$4,000. However, this area also acts as resistance, with potential liquidations of nearly $1 billion possible near that zone. The Relative Strength Index (RSI) is at 85.36, confirming strong momentum but also indicating overbought conditions. The MACD histogram at +86.83 reflects bullish divergence, further validating the breakout strength. Analysts have flagged $4,113 as immediate support, while the full wedge height projects a price objective near $6,766.93.

In summary, Ethereum’s latest movement is driven by structural ETF demand, whale accumulation, and technical confirmation. These factors align toward an ongoing bullish continuation, with the digital asset setting its sights on the $6,700 mark in the medium term. However, investors should be cautious of short-term overbought conditions and potential resistance levels as Ethereum continues its upward trajectory.