- Ethereum’s surge was influenced by strategic investors anticipating Bitcoin ETF trading.
- Active addresses increase hints at network participation driving Ethereum’s rally.
Ethereum (ETH) has been on a remarkably bullish trajectory, with trading activity surging notably on the last day. This uptick in trading can be attributed to strategic investors positioning themselves ahead of the resumption of Bitcoin ETF trading sessions in the US. Sentiments daily trading volume tracking reveals a significant surge in ETH trading volume, reaching $26.7 billion, marking the highest level since January 11th.
Currently, ETH is trading at $2,933.70 with a 10% surge in the past seven days. One notable factor potentially driving Ethereum’s rally is the uptick in unique active addresses, indicating increased network participation. While the metric has shown a gradual uptrend since October 2023, it hasn’t yet established a clear uptrend on higher timeframes.
Despite reaching highs not seen since May 2022, Analysts predict that Ethereum’s price could face resistance near the $2900 mark, with liquidity pockets suggesting a potential retracement towards $2000. However, the strength of bulls in recent weeks casts uncertainty on the likelihood of a bearish move materializing.
ETH Bulls Vs $3K
Analysis of Ethereum’s price action reveals a consolidation phase since mid-December, with a range between $2116 and $2614. The mid-point of this range, $2365, has served as a significant horizontal level. However, Ethereum bulls managed to break above the range highs on February 12th, closing the daily session at $2659.
The influence of a mysterious whale making significant purchases of ETH, valued at millions of dollars, has also contributed to the recent surge in Ethereum prices. This whale’s transactions, totaling tens of millions of dollars within 24 hours, have propelled Ethereum towards the $2900 mark.
With around 30 million ETH staked on the chain, representing a quarter of the total circulating supply, there’s a perceived scarcity of ETH in the market, potentially bolstering its value. Additionally, the trend of investors depositing ETH into long-term storage and staking contracts further suggests bullish sentiments.
Finally, Ethereum’s journey toward the $3K mark reflects a combination of market dynamics, investor sentiment, and influential whale activities.
