Ethereum Breaks Out Strong: 4 Key Indicators Explain the Current Bull Run
Ethereum (ETH) is experiencing an explosive growth this week, with the price of the largest altcoin surpassing the $3,050 mark, marking its highest level since early February. In just a few weeks, ETH has risen more than 120% from its April low, a strong signal of renewed bullish sentiment.
Here are four key charts and indicators that explain why Ethereum is accelerating and could continue to go further.
1. Technical Analysis Confirms Clear Uptrend
Ethereum has just completed a “bull flag” pattern, a technical pattern that often signals the continuation of an uptrend. After a short consolidation period with a narrow range, ETH has broken out of resistance, establishing a new bull cycle.
Notably, ETH also recorded a “golden cross” when the 50-day moving average crossed above the 200-day moving average, which is considered by analysts to be an extremely positive signal.
The ADX (Average Directional Index) also rose to 24 a threshold indicating that the uptrend is gaining momentum. With all these signals, many experts expect ETH to head towards the $4,000 mark in the next rally.
2. The amount of ETH on exchanges is depleting
Another technical factor supporting the uptrend is the sharp decline in the supply of Ethereum on exchanges. According to data from Santiment, there are currently only 7.29 million ETH on exchanges, the lowest level in many months, down sharply from 10.73 million at the beginning of the year.
This shows that investors are withdrawing ETH from exchanges and transferring it to private wallets (self-custody), showing a "hold" mentality and belief in the long-term uptrend.
3. Whales Quietly Accumulate Ethereum
Institutional investors and large wallets, commonly known as “whales,” are ramping up their ETH purchases.
Wallets holding 10,000–100,000 ETH have now accumulated a total of 27 million ETH, up from 24.65 million in March.
Larger wallets, holding 10–100 million ETH, now hold 64 million ETH, up from 55.8 million at the start of the year.
The persistent accumulation from whales is an important signal, as history shows that whales tend to buy ahead of major rallies.
4. Ethereum ETFs Continue to Flow
While the crypto market is recovering, Ethereum ETFs have seen net inflows for nine consecutive days.
Ethereum ETFs now hold $13.5 billion in assets, or 3.7% of ETH’s market cap. This is a new record, reflecting strong participation from Wall Street financial institutions and long-term investors.
Fundamental data reinforces the bullish trend
In addition to the key indicators, many other supporting data also show that Ethereum's foundation is stronger than ever:
The total value locked in DeFi (TVL) surpassed the $160 billion mark, growing strongly along with ETH price.
The market capitalization of stablecoins hit a record $127 billion, reflecting liquidity returning to the Ethereum ecosystem.
Open Interest in the ETH derivatives market has skyrocketed to nearly $45 billion, indicating that investors are betting heavily on the bullish trend.
Conclusion: Ethereum could be the leader of the new altcoin season
With a series of strong technical signals, increasing institutional money flows, and clear accumulation from whales, Ethereum is becoming the leading flag in the recovery wave of the crypto market.
If the current trend continues, $4,000 is well within reach. Furthermore, the growing presence of ETFs and upgraded DeFi on Ethereum could create a new sustainable growth cycle in 2025.
