Ethereum is showing stability above $1,700 after reaching highs of $1,834, supported by $38.8 million in institutional inflows over spot Ethereum ETFs. A bullish trend line indicates technical support levels while resistance remains at $1,820. The upcoming Pectra upgrade on May 7 is expected to enhance network efficiency, with analysts cautiously optimistic about price forecasts ranging up to $4,500 by end 2025, contingent on market movements.
Ethereum (ETH) is currently experiencing price stability above $1,700 after reaching a peak of $1,834 recently. Despite a slight dip of 1.3% within a 24-hour timeframe, the cryptocurrency appears to be consolidating, which may suggest forthcoming significant movement. This price fluctuation coincides with US spot Ethereum ETFs achieving their most substantial net inflows since February, totalling $38.8 million, indicating renewed interest from institutional investors.
Key players in this institutional influx include Fidelity’s FESH and Bitwise’s ETHW, which contributed $32.7 million and $6.1 million, respectively. This interest is crucial as Ethereum’s market dominance has decreased below 7%, suggesting additional support is needed to attract more investors. Technical analysis reveals Ethereum has established support above $1,720, with a bullish trend line forming, suggesting potential price increases.
The cryptocurrency initially advanced by breaking through the $1,750 resistance zone. After its recent high of $1,834, Ethereum is now facing immediate resistance at $1,820. A successful break above this could lead to further tests of $1,840, $1,880, and ultimately the critical psychological level of $2,000. Support levels include $1,780 and $1,740, with additional tests likely on a decline below $1,700.
In terms of momentum, the Relative Strength Index (RSI) sits above 50, indicating bullish activity, although the MACD shows decreasing momentum within the bullish territory. Looking at the ETH/BTC pair, a notable recovery is observable, with a rebound of 10.42% from its lows, now trading at approximately 0.019 BTC. Technical indicators suggest that this pair may be bottoming out, indicating a potential bullish phase ahead.
Upcoming on May 7, the Pectra upgrade will introduce vital enhancements to the Ethereum network, including wallet recovery options, transaction batching, Blobspace expansion, and an increased staking limit of 2,048 ETH. These updates are anticipated to enhance network efficiency and attract a broader user base, exerting a positive influence on ETH’s price trajectory in the weeks ahead.
On-chain data reflects mixed signals, with spot investors potentially cashing in from recent gains, alongside institutional inflows. Exchange net inflows have surged above $150 million in the last two days, alongside significant liquidations in ETH futures amounting to $81.82 million in the past 24 hours. Analyst forecasts indicate ETH may find critical support near $1,629, with the potential to reach target levels of $2,506, $3,708, and possibly above $4,500 by the conclusion of 2025. Presently, ETH is in a consolidation phase, needing to break the $1,840 resistance to maintain momentum forward.
