In This Post:
- Ethereum ETFs show a weekly net inflow of $49 million, sparking recovery hopes.
- ETH holds key support between $2,292 and $2,368, showing a bullish outlook.
- Futures interest and volume support Ethereum’s move toward $3,000.
Ethereum’s price has gone up, breaking through the $2,500 mark. This increase is supported by a $49 million weekly inflow into Ethereum ETFs. This positive inflow, the first in weeks, brings hope for a move up to $3,000.
Ethereum ETFs Score $49M Weekly Inflows
Ethereum ETFs have had a tough time since their launch in July. But this week, things are looking better. After weeks of negative flows, Ethereum ETFs have shown a net inflow of $49 million. This is a big improvement from past weeks, especially the weeks ending August 2 and July 26, which had net outflows.
Data from SoSoValue shows Monday’s net inflow of $49 million marks a positive change. In contrast, Friday’s data showed a total net inflow of $54.3 million, showing growing investor confidence. This inflow is important for boosting investor morale and increasing demand for Ethereum, supporting a steady rise in price.
Ethereum Price Jumps Above $2,500, What’s Next?
Ethereum’s price has been up and down. It fell through several support levels recently but held at the important $2,100 support level. This sparked new buying interest, pushing Ethereum’s price above $2,500.
The Money Flow Index (MFI), which measures money flowing in and out of an asset, moved from oversold to neutral, confirming this change in momentum. For Ethereum to keep rising, it needs to close above $2,500 daily. This would confirm the upward trend and set the stage for a possible move to $3,000. If Ethereum breaks through $3,000, it might aim for $3,500 next.
Key Support and Resistance Levels
The IOMAP (In/Out of the Money Around Price) model from IntoTheBlock shows important support and resistance levels for Ethereum. According to the model, there is strong support for Ethereum between $2,292 and $2,368. In this price range, about 1.7 million addresses bought nearly 50 million ETH. These addresses are currently profitable and likely to hold onto their positions, hoping for a longer rally.
As Ethereum approaches $3,000, the model shows less resistance. This suggests a possible steady rally beyond $3,000 if the current momentum continues. But traders should stay cautious. A previous ETH price forecast showed that a death cross pattern could make things harder for buyers. A death cross happens when a short-term moving average crosses below a long-term moving average, signaling possible downward movement.
If Ethereum fails to stay above the $2,500 support level, it could trigger a bearish pattern. This pattern might push the price down toward $1,600, bringing back negative feelings.
Challenges Ahead for Ethereum
Even with the positive inflows and price recovery, Ethereum faces several challenges. Slow market sentiment, driven by fears of a recession and global tensions, could hurt its rise. These factors might lower investor confidence and limit the potential upside for Ethereum.
It’s important for Ethereum ETFs to keep receiving positive inflows to keep investor morale up and support a steady uptrend. Traders should keep a close watch on key support and resistance levels and stay alert to changes in market sentiment.
Looking Forward
Ethereum’s price has made a big recovery, breaking through the $2,500 resistance level with the help of positive ETF inflows. If Ethereum can hold above $2,500, it has a good chance of reaching $3,000. However, traders should stay careful, as factors like recession fears and global tensions could be risks. Keeping an eye on key support and resistance levels will be essential for making smart trading decisions.
