Ethereum recently rebounded from the $3,300 support level, setting the stage for another attempt at a breakout above $3,500 before 2025.
While Bitcoin fluctuates below $100K, Ethereum has shown resilience in overcoming the recent pullback. With a fresh bullish candle and increasing institutional investment, ETH is aiming to challenge $3,500 for a breakout run.
Will the price of ETH finally see a breakthrough after several failed attempts at the $3,500 supply zone?
Ethereum Price Analysis
Amid broader market volatility, Ethereum’s price experienced a 4.67% pullback last night, forming a bearish engulfing candle and completing an evening star pattern.
The pullback tested the critical support level at $3,300. However, with the market stabilizing, Ethereum is now making a bullish recovery.
Currently, Ethereum is priced at $3,427, marking an intraday gain of 3.22%. On the 4-hour chart, a large bullish engulfing candle has crossed above the 20-day EMA line, signaling increased bullish sentiment.
Additionally, the MACD and signal lines are preparing for a bullish crossover, reflecting the rising buying pressure.
As a result, Ethereum is likely to re-challenge the overhead supply zone slightly above the $3,500 psychological mark.
Ethereum ETFs Inflows Surge to $117M After Christmas
The intraday recovery in Ethereum is supported by strong institutional backing. On December 26, the U.S. spot Ethereum ETFs recorded a net inflow of $117.09 million.
This surge in daily inflows was driven by Fidelity acquiring $82.96 million worth of Ethereum, followed by BlackRock purchasing $28.18 million, and Grayscale acquiring $5.95 million.
Ethereum ETF inflows
ETH Price Targets
Based on the current price trend, Ethereum will likely challenge the supply zone just above the $3,500 psychological mark. If the breakout occurs, the next target could be the $4,000 level.
On the downside, key support levels for Ethereum remain at $3,244 and the $3,000 psychological mark.
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