Ethereum's Price Surges 16% on Institutional Demand, Eyes $2,000
1min read Ethereum's price has shown significant potential to break the $2,000 mark in the near future, driven by several key factors. On April 28, Ether's price reached a new range high at $1,860, its highest value since April 2. Analysts have noted that for Ether to continue its upward trajectory, it must hold above the $1,800 level. Kiran Gadakh, a trader, expressed optimism, stating that once Ether confirms a four-hour close above $1,800, it could pave the way for a significant price increase, potentially reaching $2,000. However, if Ether faces high volume rejection at the $1,800 level, it might drop to test support levels around $1,600, as opined by analyst Nebraskangooner.
One of the primary drivers behind Ether's bullish outlook is the resurgent institutional demand. Significant inflows into spot Ethereum exchange-traded funds (ETFs) indicate a growing interest from institutional investors. On April 28, Ethereum ETFs saw a net inflow totaling $64.1 million, following inflows of $151.7 million during the week ending April 25, the highest since February 2025. This trend was reinforced by net inflows of $183 million into Ethereum investment products last week, ending an eight-week streak of outflows. Market analysts attribute this shift to concerns over the tariff impact on corporate earnings and the weakening of the US dollar, leading investors to view digital assets as an emerging safe haven. Institutional buying creates sustained upward pressure on Ether’s price by absorbing the available supply.
Ethereum's on-chain activity further supports its bullish case. The network remains the top layer-1 blockchain with over $51.8 billion in total value locked (TVL), showing a 16% increase over the last seven days. Aave, Lido, EigenLayer, and Ether.fi were among the strongest performers in Ethereum deposits, with significant increases in TVL. Ethereum’s daily decentralized exchange (DEX) volumes have also increased by more than 30% over the last week, reaching $1.65 billion. This robust network strength indicates a healthy and active ecosystem, which is crucial for Ether's price appreciation.
Technical analysis also points to a bullish outlook for Ether. The ETH/USD pair has formed a bull flag pattern on the four-hour chart, suggesting a potential upward move. A four-hour candlestick close above the flag’s upper boundary at $1,800 on April 29 indicates the start of an upward trend. The flagpole’s height sets the target, projecting Ether’s price ascent to $2,100, approximately a 15% increase from the current price. Additionally, the relative strength index is moving within the positive region at 60, suggesting that market conditions still favor the upside. Increased demand from the $1,700 area should serve as a solid foundation for Ether's price to reach the $2,110 level, eventually topping out at $2,500.
Ask Aime: "Will Ethereum's price hit $2,000 soon?"
