Ethereum surged to a 180-day peak of $3,671, marking a 152% rally from March lows of $1,392 and achieving a record 37% monthly gain in July. This explosive growth is primarily driven by historic institutional demand through spot ETFs, which recorded single-day inflows of $720 million. Major firms like BlackRock, Fidelity, and Grayscale have funneled billions into Ethereum products, outpacing Bitcoin's ETF flows and signaling a shift in institutional preference.
Technically, ETH trades above all major moving averages and approaches the critical $4,000-$4,200 resistance zone. A 4-hour chart reveals an ascending channel pattern targeting a $4,100 breakout, supported by an RSI reading of 78.54 indicating strong momentum. However, analysts warn of potential short-term pullbacks due to overbought conditions, with Michaël van de Poppe noting the rally has entered "overbought territory on the RSI" and forecasting a possible 10-15% retracement.
Cycle analysis suggests Ethereum may enter its most explosive growth phase, as it remains 961% above its macro base compared to Bitcoin's 1,949%. Crypto analyst Cas Abbé highlighted ETH's positioning below its full expansion zone, historically preceding aggressive altcoin rallies. The broader market impact includes heightened altcoin sentiment, with Ethereum's movement influencing DeFi TVL and liquidity flows.