Ethereum (ETH) has surged nearly 44% this week to reach about $2,600, mainly fuelled by institutional buying from Abraxas Capital, which withdrew over $695 million in ETH from exchanges. Despite signs of potential overbought status, analysts see support levels and further gains potentially leading to targets of $3,000 and beyond if momentum persists.
Ethereum (ETH) has surprised many this week with a significant price increase and noteworthy activity from major investors, often referred to as whales. Over a span of just a few days, ETH has surged nearly 44%—jumping from roughly $1,800 to an impressive high of $2,600. A substantial factor in this rally appears to be institutional buying, particularly by Abraxas Capital.
Abraxas Capital made headlines after pulling 185,309 ETH, equivalent to about $399 million, from central exchanges within a mere three days. This followed another major withdrawal of 138,511 ETH—valued at around $297 million. In total, Abraxas Capital has withdrawn over $695 million worth of Ethereum in just one week, showcasing a strong belief in the cryptocurrency’s potential—likely anticipating a significant upcoming event or trend that might not yet be reflected in current market prices.
On the technical side, Ethereum has successfully broken through important resistance points. It has surpassed the 50-day and 100-day exponential moving averages (EMAs) and is now testing the 200 EMA, which is hovering near the $2,600 mark. While there was a slight dip in prices signified by a red candle—a typical move for profit-taking—the overall sentiment leans bullish, thanks to a spike in volume during this breakout.
However, the Relative Strength Index (RSI) is currently above 77, a number that often communicates that the asset may be in an overbought state. Still, if momentum continues, ETH could potentially climb higher after undergoing a process of healthier consolidation.
Experts speculate that a pullback could occur, especially around the $2,400 to $2,450 range, which might serve as a strong support base for another bullish move. If Ethereum successfully holds above the $2,300 level along with ongoing institutional interest, the next psychologically significant target of $3,000 becomes very achievable. A successful breach of that threshold could pave the way for revisiting the $3,300 to $3,500 zone, akin to levels experienced during the 2021 bull market.
With giants like Abraxas Capital involved, Ethereum’s bullish trajectory could be just the starting point of a more extended rally, capturing the attention and anticipation of many within the crypto community.
