ETH price has gone vertical, surging for the past nine consecutive days, and reaching its highest point since December last year. This surge could gain steam as the altcoin season index jumps, and as two key metrics like futures open interest and exchange-traded fund inflows soar.
Ethereum Price Could Jump to $6,800 this Year
The daily timeframe shows that the Ethereum price has made a strong comeback this year. This surge accelerated after it formed a golden cross pattern on July 9 when the 50-day moving average moved above the 200-day one.
ETH price also moved above the upper side of the bullish flag pattern on the same day. This pattern comprises of a tall flagpole and a rectangle pattern, and often leads to more gains in the long term. The coin has moved above the Ichimoku cloud and the Supertrend indicator, a sign that the bullish momentum is continuing.
Most importantly, it is in the process of forming a cup-and-handle pattern whose lower side is at $1,370, its lowest point in April. The upper side of the cup is at $4,101, while its lower level is at $1,371 or 66%.
Measuring the same distance from the cup’s upper side brings the target price to $6,800. This target is about 80% from the current level. The surge to $6,800 will be confirmed if it jumps above last year’s high of $4,080, and the psychological level at $5,000.
On the other hand, a drop below the support level at $3,000 will invalidate the bullish ETH price forecast and indicate further downside this year.
Key ETH Metrics Gain Steam and Hit Their All-Time Highs
Ethereum price is gaining momentum as some key metrics surge to a record high, a sign of resilient demand. One of the most notable metrics is the soaring Ethereum ETF demand, which is signaling increased appetite from America’s institutional investors.
Data shows that these inflows have continued in the past ten consecutive weeks and the momentum is accelerating. These funds added a record $2.1 billion in assets last week, much higher than the previous week’s $907 million.
Most importantly, Ethereum ETFs have had cumulative inflows to over $7.4 billion. If this trend continues, these funds are likely to surpass the $10 billion milestone by September, marking their first anniversary.
A closer look at these funds shows that the inflows surge is being driven by BlackRock’s ETHA, which has had inflows of over $8 billion. The others are from Grayscale and Fidelity. Others by companies like Invesco, 21Shares, and Franklin Templeton have had minimal inflows.
The other notable metric is Ethereum’s futures interest, which surged to a record high of over $86 billion. Soaring futures interest is a sign that demand from investors is strong, which is a bullish sign.
Summary
Ethereum price has been in a strong bull run in the past few months, a trend that may continue as sentiment among market participants improves. It has bullish catalysts, including the rising open interest, futures open interest, DeFi TVL, and stablecoin growth, especially after the recent signing of the GENIUS Act.
Frequently Asked Questions (FAQs)
Ethereum price is surging amid rising demand from Wall Street investors surged amid rising ETF inflows and futures open interest.
There are odds that the ETH price will jump to over $4,000 this week and $6,800 by the end of the year.
Yes, Ethereum is a good investment as whales and smart money investors continue accumulating. It also dominates key industries like DeFi and RWA.
crispus
Crispus is a seasoned Financial Analyst at CoinGape with over 12 years of experience. He focuses on Bitcoin and other altcoins, covering the intersection of news and analysis. His insights have been featured on renowned platforms such as BanklessTimes, CoinJournal, HypeIndex, SeekingAlpha, Forbes, InvestingCube, Investing.com, and MoneyTransfers.com.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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