Ethereum Surges 17% to $2,640 as Coinbase Stock Jumps 2%

Ethereum (ETH) has extended its rally, with the cryptocurrency surging to approximately $2,640, marking a 17% increase. This upward momentum is part of a broader rally in the crypto market, with other major coins also experiencing significant gains. Solana has increased by 11%, while XRP has soared by 25% and Dogecoin has surged by 23%. This rally is not merely driven by hype but is backed by substantial market forces, including the recent surge in Coinbase's stock price.

Coinbase's stock has jumped over 2% to hit $395.39, just shy of its 52-week high. This surge follows a major partnership announcement by Coinbase, which has fueled investor confidence and momentum in the crypto market. The partnership is expected to bring more institutional investors into the crypto space, further boosting the market's liquidity and stability. Ethereum and Coinbase (COIN) stock have both broken past downtrends, signaling a fresh bullish cycle backed by strong investor momentum. ETH is on track for $3,500 this month as its rebound mirrors Coinbase’s sharp recovery from yearly lows, boosting market sentiment. Rising together, ETH and COIN show how tightly linked crypto and crypto stocks are, with both pointing to more upside ahead.

Ethereum’s strong comeback is gaining momentum as Coinbase stock surges, hinting at more upside for ETH in the short term. After months of downside pressure, both assets have finally broken out of sustained downward trends. ETH is now trading near $3,033 after rebounding from mid-year lows of $1,300. Similarly, Coinbase (COIN) stock has spiked to $393 from a low of $141. The charts reveal almost identical patterns for ETH and COIN from December 2024 to July 2025. Both suffered sharp declines, then hit strong support, and have now bounced back with force. Moreover, ETH is widely expected to reach $3,500 this month, with $4,000 possible in Q3. This outlook is strengthened by COIN’s ongoing rally, which typically correlates with Ethereum’s market behavior.

Coinbase stock dropped from $420 to $141 earlier this year. However, it recently broke above its descending trendline and recovered sharply. This move points to renewed institutional interest and growing optimism in the broader crypto market. Ethereum followed a nearly identical path—crashing from $4,000 to $1,300—then surging past resistance to reclaim the $3,000 level. Additionally, both assets now trade above their previous trendlines. These trendline breakouts usually hint at bullish trend reversals. The market has responded quickly. Hence, confirmation of the new uptrend could send prices even higher in the coming weeks.

Ethereum’s technical setup now supports further gains. The $3,000 zone is acting as a strong pivot level for bulls. If ETH holds above this mark, the $3,500 target could be hit soon. Besides, rising investor confidence in COIN suggests that the crypto rally has deeper roots. Consequently, Ethereum continues rising, with $4,000 firmly in sight by Q3. Moreover, the synchronized movements between ETH and COIN confirm strong ties between crypto prices and related equities.

The rally in Ethereum and other cryptocurrencies is also supported by regulatory developments in the United States. The House of Representatives is set to consider three bills that could overhaul U.S. crypto policy. These bills include the GENIUS Act, which proposes federally recognized rules for dollar-backed stablecoins, the CLARITY Act, which would hand the Commodity Futures Trading Commission primary oversight of digital commodities, and the Anti-CBDC Surveillance State Act, which would bar U.S. regulators from launching a retail central bank digital currency. These regulatory developments are expected to provide more clarity and stability to the crypto market, attracting more institutional investors and boosting the market's overall sentiment.

The weakening U.S. dollar is another factor contributing to the rally. The dollar has fallen more than 10% against a basket of major developed-market currencies and nearly 13% versus the euro alone. This depreciation has made Bitcoin and other cryptocurrencies more appealing to international investors looking for a hedge against further weakening of the greenback and long-term changes to its status as the world’s dominant reserve currency. The dollar’s fall boosts the value of risk assets like equities and crypto, which are priced in dollars. This suggests that the breakout is, at least in part, a currency effect—a shift in the denominator rather than the numerator.

The rally in Ethereum and other cryptocurrencies is also supported by a favorable macro backdrop. Rising inflation concerns and shifting investor perceptions around alternative stores of value are all contributing to the renewed appeal of cryptocurrencies. However, the sustainability of this rally will depend on several factors, including the final language and fate of the three major crypto bills, institutional adoption, investor risk appetite, inflation data, and global central bank policies. In conclusion, the rally in Ethereum and other cryptocurrencies is driven by a confluence of political, economic, and structural factors. The surge in Coinbase's stock price, regulatory developments in the United States, the weakening U.S. dollar, and a favorable macro backdrop are all contributing to the renewed appeal of cryptocurrencies. However, the sustainability of this rally will depend on several factors, and the road ahead is far from certain.