Ethereum News Today: Ethereum Surges 25% in Week, Hits 180-Day High of $3,755 on Network Upgrade

Ethereum has reached a significant milestone, hitting a 180-day high of $3,755 as its network gas limit approaches 45 million. This surge in price and network capacity signals a major boost in scalability and transaction throughput for the Ethereum network. The increase in the gas limit is expected to enhance the network's ability to handle more complex operations, reducing congestion and improving support for decentralized applications (dApps) and Layer-2 interactions.

According to a July 20 update by Ethereum co-founder Vitalik Buterin, nearly half of all stakers now support this increase. This change is part of ongoing optimizations, such as the release of Geth v1.16.0, which has drastically reduced node storage requirements. This marks Ethereum’s most meaningful scaling upgrade in years, aiming to significantly boost the network’s transaction throughput.

However, raising the gas limit also comes with potential trade-offs, such as centralization risks if smaller node operators cannot keep up with larger blocks. Despite these risks, the market's reaction has been overwhelmingly bullish. Ethereum is currently trading around $3,755, up 2% on the day and 25% over the past week. Technical indicators are pointing toward a breakout, with Ethereum approaching the key resistance zone between $4,000 and $4,200. RSI readings of 78.54 signal strong momentum, albeit nearing overbought conditions.

Fueling this rally is unprecedented institutional demand. Ethereum ETFs have seen inflows exceeding those of Bitcoin, with heavyweights like BlackRock, Fidelity, and Grayscale accumulating billions in ETH-based products. This shifting institutional preference provides robust fundamental support for continued price expansion.

Technical analysis reveals ETH moving within a bullish ascending channel since March, testing the upper boundary at $3,800. If this breakout holds, analysts project a move to $4,100 and beyond, aligning with previous cycle highs. Moreover, Ethereum’s current expansion phase appears to be trailing Bitcoin’s. While BTC trades 1,949% above its macro base, ETH lags at 961%, suggesting significant upside potential. Historically, when Bitcoin enters consolidation zones like these, Ethereum often takes the spotlight with aggressive rallies.

With network upgrades, institutional backing, and bullish technicals converging, many analysts argue that a $4,000+ ETH is not just likely, it’s becoming inevitable. As Ethereum enters what could be the most explosive leg of its cycle, investors are watching closely, eyeing not just new highs, but a new era for the smart contract king.