The Bullish Momentum in Crypto Markets: Ethereum Surges Over $100K
The crypto markets have finally witnessed the long-awaited bullish movement as Bitcoin easily surged over $100K after breaking the consolidated zone below $98,000. This surge has also had a positive impact on Ethereum, which quickly gained momentum and outperformed Bitcoin by attracting nearly 40% gains since the last trading day. The price of Ethereum has broken back into its macro range between $2000 and $3900, confirming a deviation towards higher targets if it can sustain above the gained threshold. Historical data suggests that the final retest may be in place, potentially leading to Ethereum forming a new all-time high.
The Pectra Upgrade and Institutional Accumulation
One of the most important upgrades to the Ethereum platform, the Pectra upgrade, addressed transaction speed and count issues. Following the upgrade, institutional whales who had been accumulating ETH since the beginning of the year intensified their actions. Reports indicate that these institutions accumulated millions worth of ETH, indicating that the next pit stop for the Ethereum price rally may not be below $3000. Additionally, Trump’s World Liberty also purchased $3.5 million worth of ETH, further supporting bullish prospects.
Technical Analysis and Price Predictions
Technically, the ETH price has risen above a significant pattern, suggesting a 50% increase is imminent if the token can secure a crucial range. The recent breakout saw Ethereum breaking above a falling wedge that it had been stuck in since facing rejection from $4000. This breakout, after a 5-month consolidation, indicates the beginning of a fresh bullish wave. The On-Balance volume has shown a steep rise, validating the increase in buying pressure. While the RSI has entered the overbought zone, signaling a potential short-term pullback, a rise to $2,800 could be on the horizon if the rally maintains crucial support at $2,200.
Potential for a New All-Time High
The Ethereum price has printed a massive daily candle since the spot ETF approval. The platform has become more deflationary after the Pectra upgrade, burning nearly 34,000 ETH in the past 24 hours. History seems to be repeating itself, as the Ethereum price bull run was kickstarted with a 20% single-day rise back in 2021. This current upswing raises the possibility of a similar rally ahead, with the potential for a new all-time high above $6000 to $6500 if Ethereum follows the same pattern.
