Ethereum's price rose by 7% to $4,200, the highest level since December 2021.
Analysts predict the next steps.
August 10, 2025
Ethereum (ETH) reached a level of $4,200 with a 7% increase between Friday and Saturday, the highest price since December 2021.
This increase was based on a two-day bullish trend and the liquidation of $207 million in short positions, with the price crossing the significant technical barrier of $4,000 on Friday, prompting new purchases in the market and paving the way for further price increases on Saturday.
Miles Deutscher explained that when ETH's price rises, large investors and small retail investors see profits from their positions and move their investments into smaller, riskier tokens to achieve higher returns.
This process is called the 'On-Chain Wealth Effect,' which could further boost ETH's price increase.
He has also predicted three phases of market circulation:
First, a brief altcoin season led by ETH, then a trend towards Bitcoin which could take BTC to $120,000 to $140,000, and finally a return to ETH and smaller tokens, which could mark the peak of the market cycle.
Crypto analyst Michael van de Poppe described the rise to the $4,200 level on Saturday as a 'wild move' and warned that buying at this high level carries more risk.
They expect ETH to approach its all-time high, but advised that investing in projects within the ETH ecosystem could yield better returns.
They also mentioned that the strength of ETH could create significant profit opportunities in altcoins.
Market intelligence platform Santiment noted that on August 8, ETH's price surpassed $4,000 for the first time since December 2024, accompanied by a significant increase in words like 'buying' and 'bullish' from retail traders, reflecting positive market sentiment.
However, the company warned that excessive confidence can sometimes lead to short pauses during bullish periods.
According to technical analysis, ETH's price rose from $3,914.59 on August 8 to $4,160.29 on August 9, while the trading volume increased three times the normal due to a significant price increase through two major breakouts, and ultimately the price went above $4,190 but then saw some decline due to profit-taking.
At this stage, there are signs of stability in the market.
All these developments indicate strength in ETH's market; however, analysts have urged investors to remain cautious and consider the potential volatility of the market.
