Ethereum Rises Above $3,000: Bull Flag Breakout Indicates a Target of $3,834
Ethereum (ETH/USD) has reclaimed the crucial $3,000 barrier for the first time since early February. It has increased by more than 3.2% over the past day and is currently trading above this level. This breakout is significant for the second-largest cryptocurrency in the world after weeks of trading below $2,800.
ETH/USD Technical Analysis: Bull Flag Pattern Emerges with Clear Price Target
Merlijn, the target technical analyst On Ethereum’s daily chart, the trader has discovered a verified bull flag breakthrough. This indicates that $3,834 will be the next significant resistance level. A falling wedge reversal that began at the highs in December 2024 and concluded at the lows in April 2025 preceded this technical pattern. Midway through May, the first breakout occurred.
The measured motion computation of the pattern, which is reliant on the flagpole’s height, provides a clear indication of Ethereum’s potential future direction. As of right now, the consolidation phase that began in May and finished in June has settled favorably. The recent breach above $2,700 confirms the bullish patternon.
According to cryptocurrency researcher Daan Crypto, the $2,800 mark is crucial since it has served as a resistance level for the past two years. “Traders now have a clear invalidation point at this level,” he stated. “The market bulls will continue to dominate as long as Ethereum remains above $2,800.” Additionally, he noted that if prices continue to rise beyond this level, the market cycle top above $4,000 may be reached again.
Technical Indicators Show Mixed Signals
Technical indicators paint a more nuanced picture, but the overall trend remains hopeful. The increasing trend will continue, according to the Moving Average Convergence Divergence (MACD) indicator. Recently, the MACD line passed above the signal line, which is typically seen as a sign of a rising trend.
Conversely, the Relative Strength Index (RSI) is much over the overbought threshold at 71.12. This indication suggests that Ethereum might be on the verge of becoming overheated, which might lead to some investors taking short-term profits.
Institutional Interest Fuels Rally Through ETF Inflows
The excitement surrounding Bitcoin wasn’t the only factor in the recent price increase. With $907.99 million flowing in, spot Ethereum ETFs experienced their highest week since they began trading in July 2024. Thursday, July 10th, was the largest single-day inflow of any Ethereum ETF in 2025, at $383.10 million.
The on-chain measurements have significantly improved as a result of the institutions’ attention. Out of a total supply of 155.04 million ETH, Santiment claims that 124.13 million have been profitable. At 79.96%, this is the highest percentage of all tokens since January 2025.
Corporate Adoption Accelerates with Major Treasury Moves
The Ethereum ecosystem is being used by more companies than ever before. GameSquare’s shares jumped over 60% after the company announced plans for a $100 million Ethereum treasury that aims for 14% returns through decentralized finance tactics. SharpLink Gaming is also aggressively purchasing more ETH, most recently purchasing 16,374 ETH for over $49 million, bringing their total to 270,000 ETH, which they purchased at an average price of $2,667. Bit Digital has also joined the crowd of Ethereum-using companies, raising $172 million in public equity and selling 280 BTC before moving its treasury to hold over 100,000 ETH.
Ethereum Price Prediction and Market Outlook
$493 million in exchange outflows indicate that investors are growing more self-assured and that more people are moving their assets into private wallets in the expectation that prices will continue to rise. This type of action typically indicates greater confidence in keeping and less pressure to sell.
The most crucial level to keep an eye on is still $2,800, which is now providing solid support. Ethereum might need to return to lower support levels between $2,100 and $2,160 if it remains below this level for an extended period of time. It can, however, hit the $3,834 target and possibly even the $4,000 cycle peak if it maintains above $2,800.
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