Ethereum stabilises at approximately $1,800, showing potential for an upward price breakout. Recent institutional inflows into Ethereum ETFs signal a shift towards digital assets seen as safe havens. On-chain metrics indicate that Ethereum may be undervalued, with signs of capitulation amidst steady long-term holder engagement. Technical analysis suggests a likely target of $2,100 if a bullish trend continues, with market sentiment shifting positively.
Bitcoin’s price fluctuations are grabbing headlines, but Ethereum (ETH) has been steadily holding the $1,800 mark, hinting at potential price movement. Recent technical indicators and market analysis suggest that ETH might be undervalued, especially after suffering a hefty 45% decline in the first quarter of 2025. This decline, after starting the year at around $3,579, could provide a buying opportunity for investors looking towards the future.
Institutional interest in Ethereum is notably increasing, with a record inflow into Ethereum exchange-traded funds (ETFs). The week ending April 25 saw substantial inflows of $151.7 million—the most significant since February. Following up on that, on April 28, Ethereum ETFs had net inflows reaching $64.1 million. This shift away from traditional markets appears linked to broader economic worries, according to Coin Shares’ research head, James Butterfill, who noted a growing perception of digital assets as safe havens amidst increasing tariff concerns.
On-chain metrics present further evidence that Ethereum might be in an undervalued state. A study by Fidelity Digital Assets found the MVRV Z-Score dropping to -0.18 in March, indicating historically low market valuation levels. Coupled with a Net Unrealized Profit/Loss (NUPL) ratio of zero, indicating a state of capitulation, these trends point to holders currently facing unrealized losses. Despite Ethereum’s realized price averaging around $2,020, the current value places it 10% below, signalling strong long-term holding.
In terms of network activity, Ethereum’s ecosystem remains robust, with over $51.8 billion total value locked (TVL), making it the most-used layer-1 blockchain. Protocols like Aave and Lido are showing impressive growth with notable percentage increases recently. Despite the market downturn, the stablecoin balance on Ethereum surged from $111 billion to $124 billion this year. Active engagement with layer-2 networks also reached an all-time high with 13.6 million addresses connecting.
Technical analysis indicates that Ethereum might be targeting the $2,100 mark, suggesting a 15% increase from its current price. A bullish flag formation on the four-hour chart backs this potential surge. With changing market sentiment reflected in the Fear and Greed Index moving from a score of 15 to 53 in just two weeks, the pressure to see a breakout could become tangible. Investors will keep an eye on the $1,800 resistance level as breaking through this will signal a clear path toward $2,100.
Data from the futures market shows that short traders are beginning to close out their positions, adding a positive layer to Ethereum’s upward movement. An increase in ETH’s price coinciding with a $273 million drop in short interest signals a shift, and if ETH can break through the $1,850 mark, it may catalyse further movement towards the $2,000 milestone.
Amid these price discussions, the Ethereum Foundation is undergoing significant leadership changes, with Hsiao-Wei Wang and Tomasz Stańczak stepping in as co-executive directors. Their restructuring aims to improve operations, steering focus towards optimizing Ethereum’s scalability and user experience over the coming year.
Looking ahead, analysts are cautiously optimistic, suggesting potential price targets for Ethereum could range from short-term goals of $2,101 to long-term aspirations of $3,000 and beyond. As Ether’s value stabilizes and potential bullish momentum builds, the role of Ethereum in the broader cryptocurrency marketplace continues to attract attention. The upcoming weeks will be critical as the market watches for any decisive breakout above $2,000, which will validate these bullish outlooks.
