Ethereum has climbed back above a crucial long-term trendline, sparking renewed optimism that the market may have found its bottom and could be preparing for a major rally. The cryptocurrency rose more than seven percent in the past day, reclaiming its 50-week moving average near three thousand three hundred dollars. Historically, this level has marked the beginning of strong upward moves.
Potential Bottom Near Two Thousand Eight Hundred Dollars
Ethereum’s rebound from the two thousand eight hundred dollar area suggests that the recent correction may have reached its floor. Data from TradingView shows a twenty percent rise from this support to the current price of around three thousand three hundred sixty dollars. Analysts note that reclaiming the 50-week exponential moving average often signals the start of a larger uptrend. In previous cycles, such moves delivered gains between ninety seven percent and one hundred forty seven percent.
Ethereum whales holding 100+ ETH. Source: Santiment
Analysts Target Four Thousand to Five Thousand Dollars
Several market analysts believe Ethereum now needs to secure a weekly close above this trendline to sustain momentum. StockTrader Max commented that a decisive break above the 200-day moving average at three thousand five hundred dollars would further confirm bullish strength. He noted that once this area is flipped into support, the next target becomes the previous all-time high near five thousand dollars. Analyst CyrilXBT also warned that holding the reclaimed 50-week moving average is essential for a potential move towards the four thousand dollar region.
Whale Accumulation Signals Building Confidence
On-chain data points to rising confidence among large investors. Market intelligence firm Santiment reported strong accumulation from whales and sharks, which together added more than nine hundred thirty thousand Ether in the past three weeks. In contrast, retail holders have been selling modest amounts. CryptoQuant data supports this trend, showing that wallets holding between ten thousand and one hundred thousand Ether have reached record levels. Wallets with over one hundred thousand Ether have also increased their holdings, reflecting growing interest from institutional players.
ETF Demand Boosts Market Sentiment
A renewed inflow into spot Ethereum exchange traded funds has added to the bullish mood. Spot ETFs recorded one hundred seventy seven million dollars in inflows on Tuesday, the highest figure since late October. The Ethereum Coinbase Premium Index, an indicator of demand from United States investors, shifted back into positive territory after a month of negative readings. This signals strengthening participation from US buyers, which could help support further price gains.
ETH Balance by Holder Value. Source: CryptoQuant
Historical Patterns Suggest Strong Upside
Ethereum’s past performance around the 50-week moving average provides further encouragement for bulls. The asset previously rallied one hundred forty seven percent between October twenty twenty three and March twenty twenty four after reclaiming this level. A similar move in mid-twenty twenty five delivered gains of ninety seven percent. Analysts also note that Ethereum recently ended a five-month downtrend against Bitcoin, opening the door for a potential one hundred seventy percent rise in its BTC pair.
Ethereum is now approaching a key moment. If it holds above its newly reclaimed trendline and breaks above three thousand five hundred dollars, analysts believe a powerful rally could follow, potentially pushing the price toward new highs in the months ahead.
