Ethereum has gained momentum after finding strong support at $3,000 and is heading towards $4,000. Technical indicators suggest that the cryptocurrency will continue its uptrend. According to market analysts, strong buyer interest and positive on-chain dynamics will allow Ethereum to continue this trend.
A "golden cross" formation is about to form in Ethereum, with the 50-day moving average crossing the 200-day moving average upwards. According to historical data, such formations usually trigger significant increases in prices. Experts say that this technical development has the potential to carry Ethereum to the $4,000 level.
Additionally, Ethereum is currently trading above key moving averages and is about to test the $3,700 resistance level. Maintaining this level is critical for the sustainability of the rise. The recent purchases of Ethereum whales are also noteworthy. The savings made by large wallet holders have a positive impact by increasing market confidence. For example, a purchase of 27,000 ETH by a whale means a total investment of $88.9 million.
The rise of Ethereum has also increased the interest in Layer 2 solutions. Layer 2 projects such as Op, METIS, and ARB have experienced significant value gains in recent days. This development clearly shows the increasing demand for scalability solutions in the Ethereum ecosystem.
On-chain analysis reveals that Ethereum’s market cap has surpassed $400 billion and its trading volume has increased by 60%. The golden cross formation, whale buying, and on-chain developments reinforce Ethereum’s potential to reach the $4,000 target.