Ethereum has been making headlines lately with a surge in institutional flows and spot accumulation, leading many to speculate if ETH could climb to $5,000 and hit a new all-time high.
At the time of writing, Ethereum (ETH) seemed poised for a breakout past the $5,000-level. Technically, ETH has established its third higher low this month, with the first leg off $3,500 seeing a 35% gain, and the second bouncing off $4,000 before reaching the $4,900 all-time high. Despite a dip to $4,300 on August 25th, a quick 5% rebound indicated strong support at this level, with the bullish ETH/BTC ratio suggesting a solid base for the next upward move.
One key indicator to watch is the RSI, which has not yet reached overbought territory above 85, even when ETH hit $4,900. This suggests that momentum has not yet exhausted, leaving room for a potential push towards price discovery. If bulls can establish a third higher low at $4,300, this level could act as a launching pad for a breakout to $5,000 and beyond, with a potential 20%+ swing in price.
Institutional buying has been heating up as Ethereum sets its sights on a new all-time high. Spot accumulation is crucial, and smart money is clearly at play here. Over the past week, ETH has seen $900 million in net inflows via Spot ETFs, resulting in roughly 188k ETH bought at a price of $4,780, compared to just 17.8k ETH in fresh issuance. This significant demand outweighing new supply creates a strong accumulation base, suggesting a possible local bottom forming.
In conclusion, Ethereum appears to be on track to test a new all-time high before the end of Q3. With favorable technicals, a clear bullish structure, and a strong bid wall around $4,300, the current setup points to a potential breakout past $5,000. This would give bulls the opportunity for a smooth run into price discovery.
As Ethereum continues to attract institutional interest and spot accumulation, the path to a new all-time high seems increasingly likely. Stay tuned for further developments as ETH aims for new heights in the crypto market.