Analyst: CME Futures Gaps May Drive ETH to Soar Above $3200
Ethereum has shown strong performance recently, rising 4% in the past 24 hours to reach $2,673, with a 30-day increase of over 49%. This surge has sparked discussions around key price targets, especially concerning two unfilled gaps in the Chicago Mercantile Exchange (CME) futures market near $3,200.
Cryptocurrency trader Titan of Crypto states that such gaps "often get filled," implying that the upward momentum for ETH may not be over yet. In historical price behavior, such gaps often become magnets for future price movements and typically occur when the weekly opening price is significantly higher than the previous week's closing price. Currently, Ethereum is in a bullish momentum, and if it can break through key resistance levels, the next target may aim for this gap.
Analyst Michaël van de Poppe noted that Ethereum recently broke through the previously mentioned resistance level of $2,400. Therefore, he believes that this cryptocurrency asset will follow in Bitcoin's footsteps and break above $3,000.
Despite this, some market observers still advocate caution. According to on-chain data from CryptoQuant, after intense trading activity and profit-taking around $2,600, ETH has entered a "overheated state." Therefore, this altcoin may face a short-term cooling period before resuming its upward trajectory.
Even with a potential cooling period, the market remains confident in ETH's long-term outlook. Data from Santiment indicates that currently, centralized exchanges hold less than 5% of ETH, the lowest level in over a decade.
Additionally, according to CoinShares weekly report data, last week the inflow amount for ETH-related investment products globally reached $205 million, indicating a recovery in institutional investor confidence since the Pectra upgrade on May 7.
Meanwhile, the cryptocurrency community links Ethereum's recent rise to the upcoming altcoin season, believing that the strength of ETH/BTC is a trigger for the rise of altcoins.
What do you think? If Ethereum's price breaks above $3,200, does it signal the arrival of altcoin season?
