- ETH forms cup & handle, golden cross, and bullish flag—signaling strong breakout potential.
- $700M ETF inflows and whale activity suggest rising institutional and trader confidence in ETH.
- Key levels to watch: $2,787 breakout, $3,100 flip, with $4,000 and $10,000 as possible targets.
Ethereum (ETH) has reached a crucial support level, held its ground, and rebounded strongly. This move comes after testing the lower range, creating conditions that could fuel a broader market rally. ETH’s current structure and on-chain trends suggest the early stages of a powerful move upward.
Ethereum Shows Strong Recovery from Key Technical Setup
Ethereum recently formed a cup and handle structure, with resistance near $2,795. This aligns with the 50% Fibonacci retracement level. ETH also formed a golden cross pattern in late May, as the 50-day and 200-day moving averages crossed.
The last time this occurred, ETH rallied nearly 40%. Additionally, ETH is moving within a bullish flag, which points to continued upside if confirmed. According to Formanite, “ETH is showing classic Wyckoff accumulation.
Once $3,100 flips, we’re heading for $4,000, and $10,000 is on the table this cycle.” The asset is also trading above key support levels, including EMA20 at $2,522 and EMA50 at $2,320.
Institutional Demand and Whale Accumulation Continue
ETH futures are trading at a 5% premium, showing neutral positioning from large investors. However, U.S.-based spot Ether ETFs saw $700 million in net inflows between May 22 and June 4, with no days of net outflows. This supports strong institutional interest in ETH.
Crypto analyst Lark Davis noted that ETH trading volumes have risen since May 8, suggesting renewed interest among traders. Whale accumulation is also increasing based on large wallet activity. Ted Pillows shared via X, “ETH holding range support nicely after the dump. Gaining range opens the door to $3,000.”
ETH is currently trading at $2,471.08. If the asset breaks above $2,787 with strong volume, it may target $3,100 and higher. With strong fundamentals and technical patterns in place, Ethereum’s recent move could reshape the broader crypto market.
