Ethereum open interest and accumulation addresses hit record highs.
Institutional demand and ETF inflows boost bullish sentiment.
ETH eyes $4,200 after breaking key resistance near $2,850.
Ethereum — ETH, has punched above $2,850, and bulls didn’t even flinch. Confidence surged as big-money investors lined up their bets, and Ethereum’s on-chain metrics lit up green. With open interest at record highs and whale wallets swelling, the road to $4,200 might just be clearing. This rally isn’t a fluke — it’s the result of deep pockets and smart money piling in. Let’s unpack what’s heating up Ethereum’s engine and why the next stop might be $4,200.
https://twitter.com/Washigorira/status/1932822889100656846 Futures Fuel Ethereum’s Ascent
Ethereum open interest exploded by 1.57 million ETH, hitting 15.21 million — an all-time high. That spike suggests traders feel confident and want bigger exposure. Notably, the Chicago Mercantile Exchange (CME) carried most of this surge, driven by the Volatility Shares 2x leveraged ETH ETF (ETHU). Between April and June, ETHU added 305,100 ETH in exposure. CME’s increase of 295,250 ETH would’ve been negative without ETHU’s demand.
On the spot market side, Ethereum ETFs in the US continued attracting inflows. On Tuesday, they saw $124.93 million pour in. That marked the 17th consecutive day of net inflows, another sign that buyers aren’t backing down. Consistent inflows mean confidence. That kind of trust doesn’t form overnight — it comes from belief in long-term value. Accumulation addresses, which have never sold ETH, received over 400,000 ETH in five of the last seven days.
Resistance Fades, Momentum Builds
Ethereum broke above $2,850 for the first time since February 4. That push followed a breakout past the upper trendline of a key channel. Liquidations hit $111.56 million in 24 hours, with longs and shorts getting wiped out. Strong liquidations often fuel fresh trends, and this one pointed upward.Glassnode data showed ETH has now cleared the cost basis of 2.1 million ETH bought at $2,700–$2,760. That means these holders now float in profit, giving fewer reasons to sell.
The next meaningful resistance sits near $3,400. Until then, ETH may face some friction between $2,800 and $3,300. If support holds around $2,700, Ethereum could glide toward $3,417 and beyond.Technical indicators add to the bullish case. Ethereum trades above its 200-day Simple Moving Average, a key bullish signal. The MACD indicator flipped positive and neared a bullish crossover. The Relative Strength Index (RSI) now tests overbought levels, but that’s not always bearish — it shows demand.
Ethereum’s options market adds more spice. ETH holds the second-highest volume and third-largest open interest by strike. That setup invites more volatility. If price keeps rising, option holders may take profits, pushing ETH even higher.
