Ethereum’s price is approaching an all-time high in 2024, as record fund inflows and continuing institutional faith continue to pump up the price. The cryptocurrency has been on an aggressive rally ever since bouncing from the $2,100 support level.
Ethereum is creating an intriguing pattern of higher lows and higher highs or price action symmetry just under the critical $4,000 resistance on the 4-hour chart. A retest of the $3,300 support area might come before an eventual breakout above ETH’s all-time high near $4,107.
An important indicator of this growing demand Ethereum’s fund holdings have been trending up, demonstrating a clear and persistent source of demand. During Ethereum’s major correction earlier this year, when Ethereum price suffered a major crash, the value of their fund holdings fell. From May onward, Ethereum's fund holdings began to recover aggressively, mirroring the cryptocurrency's price recovery.
On the weekly scale, Ethereum’s bulls need to protect the important lower limit of the channel. This line has been drawn to encapsulate the $3,500 short-term support level. Such a breach would be a breach of this magnitude reveal a brewing reversal.
The rise in Ethereum’s fund holdings indicates an increasing institutional confidence in the second-biggest cryptocurrency by market cap. Ethereum’s price structure is looking better, which helps confidence. Further amplifying this feeling of optimism is the narrative behind ETH ETFs and the increasing demand for regulated, indirect exposure to crypto assets.
Ethereum has lived up to those expectations, obfuscating both the 100-day and the 200-day moving averages comfortably in bullish territory. In addition, the daily moving averages, hovering near the $2,600 level, have made a bullish crossover for Ethereum.
Much like Bitcoin, this bullish crossover has served to solidify the bullish structure of Ethereum’s market, reinforcing the positive sentiment that follows the cryptocurrency.
