Ethereum’s recent rally puts it near a critical inflection point, with price action above $3,850. The RSI above 70 indicates overbought conditions but also reflects strong bullish momentum, suggesting a potential continuation towards $4,000 and beyond.
Ethereum’s surge is sparking renewed interest in altcoins. With some experts setting bold price targets for Ethereum, including $7,000, the crypto market is closely watching how Ethereum’s momentum could impact broader market trends and potentially lead to an “alt season.”
Ethereum nears key breakout levels
Ethereum’s recent rally puts it near a critical inflection point, with price action above $3,850. The RSI above 70 indicates overbought conditions but also reflects strong bullish momentum, suggesting a potential continuation towards $4,000 and beyond.
The OBV is showing increasing accumulation, indicating strong demand as institutional flows support the rally. Key resistance is at $4,200, a pivotal level to confirm the path to $5,000, while $3,650 acts as immediate support.
Ethereum’s performance against Bitcoin (BTC) in recent weeks highlights the capital rotation towards altcoins, fueling speculation of an upcoming altcoin season. Market participants are closely watching Ethereum’s performance, as its price trajectory could set the tone for broader market sentiment, especially if it leads to technical breakouts in the associated assets.
Ethereum to $5,000: Analysts’ insights on the future path
Ethereum’s rally towards $5,000 is gaining momentum as analysts highlight key technical patterns. Popular trader Jelly has emphasized the reversal of resistance to critical support above $3,800, which could serve as a springboard for Ethereum to break the psychological threshold of $5,000.
ETFs Draw Massive Bitcoin, Ethereum Inflows
On Wednesday, before Bitcoin’s dramatic jump to $100,000, U.S.-based Bitcoin ETFs attracted $556.82 million in new inflows. They weren’t far behind, with the nine U.S.-based Ethereum ETFs seeing $167.62 million in inflows during the same session.
From Record Inflows to Six-Figure Bitcoin: Cryptocurrency ETFs Take the Spotlight
Bitcoin and ether-focused ETFs have been busy scooping up the digital asset, with Bitcoin ETFs capturing $556.82 million in positive inflows, while Ethereum ETFs captured $167.62 million. BlackRock’s IBIT fund was the heavyweight champion among bitcoin ETFs, amassing $571.71 million, according to sosovalue.com. At the time of writing, IBIT boasted a holding of 513,437.54 BTC. At $102,423 per coin, IBIT’s holdings amounted to $52.58 billion as of Thursday. Grayscale’s Bitcoin Mini Trust came in second with $55.71 million inflows, while Fidelity’s FBTC followed with $17.27 million. Not every fund had a winning day, however — Grayscale’s GBTC recorded outflows of $94.31 million.
Wednesday’s inflows boosted the cumulative net total of bitcoin ETFs to $32.29 billion since Jan. 11. In total, the 12 funds hold around $108.23 billion in BTC reserves, representing 5.54% of Bitcoin’s market cap. For ETH to reach $7,000, sustained momentum in the DeFi and NFT markets, coupled with a continued cooling of Bitcoin’s dominance, will be crucial in setting the stage for such a dramatic upward move.
Ethereum ETFs also enjoyed a fruitful session, attracting $167.62 million. The BlackRock once again led the pack, with ETHA raising $124.35 million. Fidelity’s FETH raised $40.68 million, and Grayscale’s Ether Mini Trust raised $8.79 million.
Ethereum Dominates Market Amid Alt Season Speculation
Michael van de Poppe points to bullish divergence in ETH/BTC RSI on 3-day timeframes Ethereum’s performance against Bitcoin (BTC) in recent weeks has highlighted a capital shift towards altcoins, fueling speculation of an upcoming alt season.
Meanwhile, Michael van de Poppe points to a bullish divergence in ETH/BTC’s 3-day RSI, indicating Ethereum’s growing dominance within the crypto ecosystem.
As Bitcoin’s rally slows, Ethereum’s recent gains suggest a shift in market focus, with traders anticipating continued upward momentum driven by institutional interest, ecosystem development, and growing speculation about an impending alt season.
Market participants are closely watching Ethereum’s performance, as its price trajectory could set the tone for broader market sentiment, especially if it leads to technical breakouts in correlated assets.
However, skeptics warn of macroeconomic headwinds and the risk of profit-taking at key psychological levels. For ETH to reach $7,000, sustained momentum in the DeFi and NFT markets, coupled with a continued cooling of Bitcoin’s dominance, will be crucial in setting the stage for such a dramatic upward move.
With Bitcoin hitting six figures at $102,423 per coin, all eyes are on spot Bitcoin ETFs to see how they perform on Thursday and beyond. Wednesday’s dynamic ETF activity highlights growing investor enthusiasm for crypto, with both Bitcoin and Ethereum ETFs hitting important milestones.
With Bitcoin’s value soaring into the six-figure range and Ethereum ETF reserves steadily growing, this momentum points to an exciting chapter in institutional crypto adoption, promising developments to watch closely in the coming weeks will be crucial in setting the stage for such a dramatic upward move.
