Institutional interest in Ethereum has intensified ahead of spot ETF trading, with ETH breaking the $4,000 barrier. This upward momentum opens the door for a potential rally toward $5,000, marking a new all-time high.
Key Takeaways
- Ethereum confirms bullish momentum with a critical breakout.
- Analysts predict ETH could reach $4,500 before spot ETF trading begins.
- Ethereum whales purchased 510,000 ETH in the past week.
Ethereum's Bullish Resurgence
Ethereum bulls have regained strength in the lead-up to spot ETF trading. Over the past 24 hours, ETH price surged 5% to $3,957, with a market cap of $469 billion. Daily trading volume spiked 68% to $17 billion, signaling strong investor confidence.
Will ETH Break $4,000?
Prominent crypto analyst Rekt Capital notes that ETH must close above $3,956 weekly to target the $4,000+ range. While forming lower highs recently, ETH’s prolonged consolidation near $2,791 historically precedes upward moves toward $4,000.
Rekt Capital emphasizes that a weekly close above the orange box level (see chart) would confirm regained bullish momentum. This threshold is critical for ETH’s continued ascent.
Following spot ETH ETF news last week, ETH consolidated before resuming its uptrend. The asset is up 27% on weekly charts, indicating robust upward potential.
Pre-ETF Rally to $4,500?
Arthur, founder of DeFiance Capital, predicts ETH could hit $4,500 before spot ETF trading begins. A WuBlockchain survey in Chinese crypto communities found 58% of respondents believe ETH could surpass $10,000 this market cycle.
Institutional demand for ETH is expected to surge in coming weeks. In anticipation, large investors ("whales") have aggressively accumulated ETH since the ETF approval announcement.
Whale Activity Highlights
- May 19: Top 1,000 wallets held 76.01M ETH.
- May 20-26: These wallets bought 510,000 ETH, raising holdings to 76.52M ETH.
This accumulation phase mirrors patterns seen before major price rallies.
FAQ: Ethereum Price Surge & ETF Impact
Q: Why is ETH approaching $4,000?
A: Institutional demand, ETF anticipation, and whale accumulation are driving momentum.
Q: Could ETH reach $5,000?
A: Analysts suggest breaking $4,000 may pave the way for $5,000, especially post-ETF launch.
Q: How are whales influencing ETH’s price?
A: Large investors bought 510,000 ETH in 5 days, reducing supply and increasing upward pressure.
👉 Discover how ETFs are reshaping crypto markets
Q: Is now a good time to invest in ETH?
A: While bullish, markets remain volatile. Diversify and research before investing.
Q: What’s the long-term outlook for ETH?
A: With ecosystem growth and institutional adoption, many predict ETH will outperform in this cycle.
👉 Learn strategic ETH investment approaches