Ethereum Surges Towards $10,000 Amid Strong Network Adoption
Ethereum's price is surging towards $10,000, demonstrating remarkable resilience despite market volatility. Its recent price action and network adoption trends hint at a potential larger upward move.
Ethereum's journey has been marked by significant milestones. It has successfully converted the $4,000 resistance level into a new support zone, reflecting strong buyer confidence. The recent price action mirrors its 2021 rally, with a 'dead cat bounce' followed by a retest, suggesting a potential larger upward move.
Network adoption is booming. Daily active addresses have risen 45% year-over-year to over 642,000, reflecting increased usage and engagement. Institutions are also piling in, with Yunfeng Financial Group, treasury companies, and several ETFs acquiring substantial amounts of Ether, collectively holding over 11.8 million ETH, nearly 10% of the total supply. Institutional participation, including ETF inflows surpassing $1 billion since July, is adding weight to Ethereum's rally. Netflows from exchanges have been largely negative, indicating strong accumulation trends and reduced supply available for trading.
Ethereum's immediate support is at $4,182, near the 0.382 Fibonacci retracement, with nearby resistance between $4,293 and $4,300. Traders should closely watch these key levels to determine Ethereum's near-term direction. Despite market volatility, Ethereum's strong performance and increased network adoption are pushing it closer to $10,000.
