Ether’s Bullish Streak: Can it Break the $4,000 Barrier?
Despite the crypto market’s recent fluctuations, Ether (ETH) has shown remarkable resilience, outperforming Bitcoin (BTC) and maintaining its bullish structure. With a current support level of $3,500, ETH is poised for a potential rally to $4,000, leaving many to wonder if it will resume its upward trend.
Accumulation and Institutional Interest
A significant factor contributing to ETH’s strength is the aggressive accumulation by whales and institutional investors. Since July 9, over 540,000 ETH have been accumulated by new whale addresses, totaling almost $2 billion. This surge in investment is a testament to the growing trust among large investors. Additionally, the strategic accumulation of ETH has nearly doubled in the past four weeks, with investments among large companies rising from 1.2 million to 2.3 million.
Technical Signals and Market Trends
From a technical standpoint, ETH’s one-hour chart reveals a potential reverse head and shoulders pattern, which could send the price to $4,000 if the $3,750 resistance level is broken. The crypto analyst Byzantine General also sees potential for ETH to retest recent highs, suggesting that the asset may be preparing for “another stab at the highest levels.” However, if ETH loses the $3,500 support level, the bullish setup would likely become invalid, and the price could revisit the $3,150-$3,300 range before recovering.
Liquidity and Purchase Orders
A notable technical signal is the record 245,000 ETH in purchase orders stacked on the BID page of eternal futures books, primarily between $3,000 and $3,400. This increase in demand indicates strong interest but also reveals a liquidity gap below the current level. As a result, a short-term decline to $3,400 or even $3,100 remains possible before ETH resumes its upward trend.
Expert Insights and Predictions
Crypto experts, such as Eric Trump and Mike Novogratz, have expressed bullish sentiments about ETH, with some predicting it could surpass $8,000 if global M2 money supply increases. Novogratz, in particular, believes ETH will knock on $4,000 and eventually surpass Bitcoin. While these predictions are promising, it’s essential to remember that every investment and trade carries risk, and readers should conduct their own research before making decisions.
As the crypto market continues to evolve, one thing is clear: Ether’s bullish streak shows no signs of slowing down. With its strong accumulation, institutional interest, and technical signals, ETH is poised for a potential breakout. Will it reach $4,000, or will the market throw a curveball? Only time will tell, but for now, the outlook remains optimistic for this resilient cryptocurrency.
