Ethereum (ETH) is on the verge of surpassing key resistance levels in a bid to reach the coveted $3,000 mark. The altcoin's price has been on a steady incline, fueled by a surge in bullish sentiment as investors ramp up their involvement.
The momentum toward Ethereum hitting $3,000 is gaining traction, buoyed by a surge in investor interest.
The influx of Ethereum into spot exchange-traded funds (ETFs) has been remarkable this month, with a whopping 145,000 ETH, valued at over $387 million, pouring into these funds. This surge marks a substantial uptick, with inflows soaring seven times higher than those noted in January. The influx points to a rising appetite from both institutional and retail investors for Ethereum, underlining its growing presence in the market.
The robust accumulation trend underscores Ethereum's momentum, championed by a swelling interest from both retail and institutional players. If this trend persists, it could potentially propel Ethereum closer to critical resistance levels, propelling its price to new highs. The escalating interest serves as a strong indicator of continuing bullish sentiment in the market.
On a broader scale, Ethereum's macro momentum remains robust, with a notable uptick in interest from investors in the cryptocurrency. The supply of Ethereum on exchanges has been dwindling rapidly, with a mere 6.38% of the total supply remaining on these platforms. This represents the lowest exchange supply figure since Ethereum's inception, signaling a shift towards more investors holding onto ETH rather than offloading it.
Moreover, Ethereum's social dominance in the community has surged to 9.2%, further underscoring the heightened interest from investors in the altcoin. This uptick in social dominance mirrors a rising awareness and curiosity, coupled with the decline in exchange supply, bolstering the outlook for Ethereum's price and long-term growth potential.
Ethereum's current trading price stands at $2,670, supported by a solid base at $2,654. The altcoin is eyeing the next hurdle at $2,793, a breakthrough that could pave the way for an upward journey towards $3,028 - a critical milestone for ETH.
Successfully breaching the $2,793 resistance and converting it into support could reignite investor confidence, potentially driving the price higher, with $3,303 emerging as the subsequent hurdle to overcome. Holding the $2,793 level as a support would likely instill further investor assurance, fueling Ethereum's rally.
Nonetheless, a failure to breach $2,793 could see the price consolidate within the existing range. In such a scenario, Ethereum may face vulnerability to a pullback, potentially dipping to $2,546 or below, casting doubts on the bullish projection and prolonging a consolidation phase.