Ethereum has maintained its position above $2,500, following a slight decline from its recent peak, which surpassed $2,700 last week. At the time of writing this report, the asset is trading at $2,564, up 2.4% over the past twenty-four hours.
While the cryptocurrency market is generally still in a bullish state, largely driven by Bitcoin's sharp upward movement, Ethereum's relative momentum seems more moderate, raising questions among traders and analysts about its current position.
■ Calm in retail trading, with anticipation from institutions.
Although the price remains above its key levels, some analysts believe that Ethereum has not yet captured the full enthusiasm of the broader market. Borak Kismiji, a CryptoQuant analyst, pointed out that retail activity around Ethereum is still low compared to previous cycles.
This may indicate that Ethereum's rise is still in its early stages, with bullish prospects not yet priced in by the market. The absence of retail enthusiasm, which has historically coincided with local peaks, suggests that Ethereum has not yet reached its peak in this cycle.
Kismiji's analysis highlighted a noticeable shift in retail interaction with Ethereum. Comparing the peaks of 2021, the analyst noted that previous peaks were often accompanied by sharp increases in retail trading activity.
However, during the current cycle, retail interest has been largely weak, even as Bitcoin's price rose from $16,000 to over $111,000. While Ethereum saw a brief spike in retail activity in December 2024, this momentum quickly faded amid broader market reactions to geopolitical developments, including renewed tensions over tariffs.
The analyst concluded that the market may still be in an accumulation phase, as the usual euphoria driven by retail traders has not yet materialized. In this scenario, Ethereum may benefit from increased participation in the coming months, especially if macroeconomic sentiment stabilizes. The possibility of delayed entry by retail traders suggests that the current rise of Ethereum may only be in its middle stages, not close to a local peak.
■ Technical indicators for Ethereum suggest a continuation of the upward trend.
On the technical front, many market analysts remain bullish on Ethereum. An analyst, under the pseudonym Crypto Busy, published on platform X that the monthly chart of the asset is still structurally sound, pointing to a previous major resistance level near $1,410.
According to the publication, Ethereum's breakout of this established barrier has turned it into support, thereby repeating a pattern that has often preceded significant rises. Supporting this view, analyst Michael van de Poppe emphasized the importance of Ethereum's price movement near the $2,400 level.
He noted that this area provides a strong buying opportunity, and believes that if Ethereum successfully retests this barrier and holds above it, a move towards $3,000 could follow. According to Van de Poppe, this breakout would indicate the start of a new bullish phase for Ethereum.