#Ethereum has strong positive fundamentals, although its price has been stuck at $2,550 since it reached a four-month high of $2,880 on June 11. The important resistance level at $2800 remains very critical. Analysts say that if this level is decisively broken, a "violent rally" to cyclical highs above $4000 could occur.
Ethereum is still supported by institutional demand, which has experienced an ETF inflow of $861.3 million over the past two weeks. This is the largest inflow since January. The trend of 19 days of continuous inflows recently ended, but it has returned with three days of new funds, including over $19 million on Wednesday.
The network's fundamental indicators are strengthening as the amount of staked $ETH has increased by more than 500,000 tokens since June 1, bringing the total number of locked tokens to a record over 35 million ETH. Accumulation addresses holding 22.8 million ETH worth nearly $58 billion have also reached record levels. This shows that there is no selling pressure and that people are quite confident in the long-term prospects.
The simple 200-day moving average at $2600 (resistance) and the 50-day SMA at $2450 (support) indicate that ETH is stuck between them. Historical trends show that a breakout above the 200-day SMA can lead to rallies of 40% or more, as occurred in November 2024 when the price surged to $4100. If conditions for a breakout arise, bullish flag patterns could lead to targets near $3900 to $4200.
