Why Ethereum Is Going Up: Key Reasons Behind ETH’s 56% Monthly Surge

The post Why Ethereum Is Going Up: Key Reasons Behind ETH’s 56% Monthly Surge appeared first on Coinpedia Fintech News

Ethereum looks bullish, right now. In the last seven days, with a notable rise of 24.1%, it has outperformed its major rivals, Bitcoin (-1.9%), XRP (19.7%), BNB (9.3%), Solana (11.6%), and Cardano (14.3%). In the last 24 hours alone, it has surged by at least 3.1%. 

In a sensational post on X, a crypto analyst, identified as Titan of Crypto, suggests that Ethereum could be heading for a major breakout. 

Here is what you should know! 

Ethereum Market Overview

In the last 30 days, Ethereum has seen significant bullish momentum. At the start of this month, the Ethereum price was at $2,406.19. Since then, the price has jumped by no fewer than 56.29% to $3,758.73.   

The latest bullish rally is primarily fueled by substantial institutional inflows into spot ETH ETFs, increasing whale activity, and positive sentiment from major investors like Peter Thiel.  

Between July 14 and 18 alone, as many as 2,182.4 million flew into the Ethereum Spot ETF market. The 726.60 million inflow, recorded on July 16, was the highest daily inflow, last week. On the last day of the week, at least 402.50 million entered the market. Of this, at least 394.90 million entered through Blackrock’s ETHA.

Recently, an SEC document revealed that Peter Thiel, the former CEO of PayPal, quietly acquired 9.1% of the shares of BitMine Immersion Technologies – a company which aims to become the Ethereum version of MicroStrategy. 

The Ethereum network also saw a rise in its Layer 1 gas limit, enhancing transaction capacity, and continued growth in liquid staking, with Binance Staked ETH reaching 20% of the market.

Is Ethereum Preparing for a Big Bullish Rally?

Acclaimed crypto analyst Titan of Crypto states that Ethereum is following a technical chart pattern, called a right-angled descending broadening wedge on the weekly chart.

A right-angled descending broadening wedge is a bullish pattern. It features a horizontal resistance line and a descending support line, showing increasing volatility and indecision. It suggests a potential uptrend after a breakout above the resistance. 

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The chart, shared in his X post by Titan of Crypto, shows that the Ethereum market entered the pattern in early 2024. 

Highlighting the chart, the analyst opines that, at first, the market could hit $4,100 – the horizontal resistance line. He also predicts that if the breakout is confirmed, the next major price target is $6,700 – calculated by adding the height of the triangle from the breakout point.

In conclusion, the analyst advises that patience is important, as the ETH price move might take time to play out.