As Bitcoin (BTC) hovers near the $68,000 mark, Ethereum (ETH) — the second-largest cryptocurrency by market cap — is nearing a critical resistance level at $2,626. With a fully diluted valuation of around $316 billion and a daily trading volume of $15.1 billion, Ethereum’s recent rally of over 9% has ignited bullish sentiment. Will ETH break through resistance, or is a pullback imminent?
Symmetrical Triangle Breakout In Play
Ethereum’s price surge over the past week has brought it to the upper limit of a symmetrical triangle pattern, a consolidation phase often followed by a breakout. The increase in open interest (OI) highlights growing trader confidence, with many speculating that ETH could breach resistance and continue its upward trajectory. However, market conditions remain fragile, as BTC also struggles at its own critical $68,000 level.
Whales Accumulate ETH Amid ETF Inflows
On-chain data shows that whale investors are making a strong comeback. After months of muted activity, U.S. spot Ether ETFs have experienced net inflows of over $62 million in just two days. BlackRock’s ETHA ETF led these inflows, signaling renewed institutional interest.
Adding to the bullish case, nearly 3 million ETH have been withdrawn from major centralized exchanges such as Binance, Kraken, and OKX within the last 24 hours. This outflow suggests a reduced selling supply, further fueling speculation of an imminent breakout.
Macroeconomic Shifts Shape Ethereum’s Outlook
Crypto analyst Benjamin Cowen underscores the impact of macroeconomic trends on Ethereum’s market performance. He pointed out that ETH’s supply has grown by approximately 60,000 tokens per month over the past six months. At this pace, the circulating supply could return to pre-Merge levels in just three to four months.
Also Read: Vitalik Buterin’s Vision – Ethereum Targets 100,000 TPS In Dencun Upgrade!
The Federal Reserve’s recent 50-basis-point rate cut could also play a pivotal role in driving demand. Cowen highlighted that the Fed’s shift toward quantitative easing (QE) may accelerate Ether accumulation as investors seek inflation-hedging assets.
With Bitcoin and Ethereum both facing crucial resistance, the coming days will be decisive. If ETH can push beyond $2,626, traders may anticipate further gains fueled by whale activity and ETF inflows. However, a failure to break resistance could trigger selling pressure, sending prices back into consolidation.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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