Ethereum News Today: Ethereum Surpasses $4,600 as Institutional Buying Drives Bullish Momentum

Ethereum’s price remains at a pivotal crossroads as traders and analysts debate whether the asset will push toward $6,000 or experience a pullback. The digital token recently touched a new all-time high near $5,000, fueled by strong institutional buying and increased participation from corporate treasuries. However, technical indicators and trading volume suggest caution, hinting at potential short-term volatility before the next major price move [1].

Ethereum closed above $4,600 on the weekly chart for the first time, breaking through a previously resistant range of $3,900–$4,800. This move placed the asset in a zone typically marked by increased selling pressure. Analysts have highlighted the $5,000 and $5,100 levels as key resistance targets, with many suggesting that crossing these thresholds would require stronger momentum than currently seen in the market [1].

Data from CryptoQuant shows that futures open interest in Ethereum has risen in line with the price increase, indicating fresh inflows from institutional investors. In contrast, Bitcoin’s open interest has lagged, which suggests Ethereum may continue to outperform its largest competitor in the short term [1].

Corporate demand has further strengthened Ethereum’s position, with major firms expanding their Ethereum holdings. BitMine Immersion Technologies, led by chairman Tom Lee, added over 190,500 ETH to its portfolio last week, bringing its total holdings to approximately 1.7 million ETH—nearly 1.5% of the total supply. SharpLink Gaming also reported managing over 728,000 ETH. Combined, these corporate treasuries now hold around 4.3 million ETH, or 3.6% of the circulating supply, adding upward pressure to the price [1].

Despite the bullish momentum, technical indicators suggest Ethereum may face a correction. The Relative Strength Index (RSI) is showing signs of divergence, with momentum slowing as the price reaches higher levels. This pattern is often seen before a pullback, and some analysts forecast Ethereum could retest the $4,150 level before resuming its upward trajectory [1]. Additionally, lower trading volume during the most recent price rally raises concerns about the sustainability of the move toward $6,000.

Ethereum’s price has remained above $4,000, showing resilience even as Bitcoin entered a consolidation phase following its post-Jackson Hole correction. However, the two assets appear to be increasingly synchronized in their movements, with Bitcoin often serving as a leading indicator for Ethereum’s direction [1].

Market sentiment is currently in the 'greed' zone according to the Fear and Greed Index, reflecting widespread optimism among investors. Yet, with over $291 billion in open interest, the market remains highly sensitive to any sharp price movements, which could trigger large-scale liquidations or further bullish momentum [1].

Analysts are closely watching Ethereum’s ability to break through key resistance levels in the coming weeks. A successful push above $5,100 could set the stage for a move toward $6,000, while a failure to maintain momentum may result in a retest of the $4,500 support level [1].

As Ethereum remains in a critical phase of its price action, the outcome will largely depend on broader crypto market conditions and the strength of institutional demand. Investors are advised to monitor key price levels and trading patterns for signs of either a sustained bullish breakout or a deeper correction.

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[1] https://www.livebitcoinnews.com/will-eth-hit-6k-or-pull-back/