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Ethereum hit a new local high at $3,219, marking an impressive 35% increase since last Monday. This rapid rise has sparked strong optimism among analysts and investors, who now see Ethereum as poised for further gains as it begins to show its strength against Bitcoin. This rally reflects renewed confidence in the potential of ETH, especially as major players increase their activity.
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Key data from Santiment supports this bullish outlook, highlighting a significant increase in whale trading. Increased activity among large ETH holders often signals accumulation, suggesting that influential players see the potential for continued growth in Ethereum. This increase in whale trading is generally seen as a harbinger of further price appreciation, as it indicates sustained interest from large investors.
As ETH continues to grow, analysts are closely monitoring its performance relative to Bitcoin, noting that Ethereum’s recent momentum could indicate the start of a more sustained uptrend.
Ethereum bullish phase begins
Ethereum has officially entered a bullish phase after decisively breaking through key resistance levels and establishing a positive price structure. Recent data from Santiment confirms this upward trend, as Ethereum is now showing strong growth indicators that suggest further gains may be ahead.
Whale transaction data indicates a significant increase in activity among key stakeholders – wallets holding significant amounts of ETH – who actively contributed to Ethereum reaching its highest price in over 14 weeks .
In addition to increased whale activity, Ethereum’s trading volume has increased, reaching as much as $10.4 billion over the past few days. This spike in volume is an encouraging sign of growing demand and continued interest in ETH at its current levels. Large transactions often demonstrate confidence among institutional players and wealthy investors, reinforcing the bullish sentiment around Ethereum as they increase their holdings.
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Santiment analysts suggest that Bitcoin’s performance during this bull run could serve as a catalyst for Ethereum, with profits likely to be redistributed from BTC to ETH as market participants diversify into top altcoins . This dynamic has historically benefited Ethereum during strong market cycles, potentially paving the way for ETH to return to its previous all-time high.
Additionally, Ethereum network activity appears robust, another key indicator of sustained growth potential. With increased stakeholder participation, high transaction volume, and a healthy network, Ethereum appears well-positioned to continue its bullish momentum in the current bullish environment.
ETH tests fresh supply
Ethereum (ETH) is currently trading at $3,170, showing strength after an aggressive move above the 200-day moving average (MA) at $2,955. This break above a long-term resistance level indicates that the bulls are now firmly in control as ETH reaches new supply zones. Holding above the 200-day MA is a positive indicator for maintaining the uptrend, as this level often supports price action when crossed during an upward move.
If ETH experiences a pullback, a return to the 200-day MA around $2,955 would represent a healthy retracement, potentially setting the stage for further gains. Consolidation at or near this level would likely attract more demand, favoring a continuation of the uptrend.
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However, the current strong price trend, combined with new demand entering the market, could propel Ethereum even higher without a significant pullback. The momentum that ETH is currently building could help it break through successive supply levels in the near term, thus pushing towards higher targets. For now, Ethereum’s upward trajectory is supported by strong technical levels and an increasingly favorable market environment for continued gains.
Featured image of Dall-E, chart by TradingView
