Strong ETF inflows and regulatory optimism fuel ETH rally toward $4,800 zone
Ethereum (ETH) has broken through the $4,320 level, extending a powerful rally that has caught traders’ attention across the crypto market. This surge comes as Bitcoin edges back toward record highs, with sentiment spilling over into altcoins.
The move has been underpinned by positive regulatory developments and heavy inflows into Ethereum-based exchange-traded funds (ETFs), prompting speculation about a retest of ETH’s all-time high near the $4,800 mark.
On the daily chart, ETH smashed through the $3,500–$3,600 resistance zone, a key supply area that had capped prices since early 2025. Momentum accelerated as price entered the $4,200–$4,350 region, now testing the upper bounds of the $4,000–$4,350 supply zone identified by technical analysts.
In case of a pullback, strong support lies near $3,500, with additional demand zones around $2,800 and $1,800. These levels have historically acted as strong rebound points, as seen during previous market cycles.
“If Ethereum fails to hold above $4,000 on a retest, we could see a correction toward $3,500 without necessarily breaking the uptrend,” BITX trader noted.
Macro and Sentiment Drivers
Beyond technicals, ETH’s rally is supported by regulatory clarity signals from policymakers, easing concerns over enforcement actions that weighed on the market earlier this year. Additionally, the launch and growth of spot ETH ETFs have driven a surge in institutional participation, with volumes spiking during the past two weeks.
The combination of bullish macro factors and strong chart patterns has put Ethereum in a position where, if momentum holds, a move into price discovery above $4,800 could be on the horizon.
As the second-largest cryptocurrency by market capitalization, Ethereum’s performance will be closely watched for signs of whether the altcoin rally can sustain alongside Bitcoin’s push toward new all-time highs.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.