Etherem expanded its momentum throughout the week after traders tracked increased ETF inflows, increasing whale activity, and institutional accumulation. The digital asset was in good momentum following the recovery of the recent losses, and hope is visible in the markets. Analysts estimated higher prices, and some believe Ethereum can reach over $5,500 soon.
Tom Lee Sees Ethereum Price Hitting $5,500
The cryptocurrency was trading around $4,645, indicating that it was recovering highly following its prior downfalls. Investors observed the strength of the demand amid the market’s volatility, which bolstered confidence in bulls. As several positive factors converged, the market outlook remained strongly positive.
Market strategist Tom Lee was positive that Ethereum was yet to peak. He claimed that the present consolidation phase was a period of short rest followed by another upward force. He believes breaking out beyond the recent levels would precondition new highs.
Lee pointed out the contribution of exchange-traded funds to the surge. Spot Ethereum ETF inflows reached above 455 million in a single day, exceeding the earlier session’s inflows. The total amount of products sold exceeded 13 billion since the introduction, indicating a high level of investor interest.
The analyst emphasised that Ethereum was being adopted more than ever within traditional finance. Wall Street institutions continued accumulating the token steadily, using ETFs by pushing volumes up daily. As a result, Lee anticipated the ongoing demand to move Ethereum to nearer $5,500 in the near future.
Corporate and Whale Accumulation Strengthen Momentum
The support of Ethereum by big companies also contributed to the bullish movement of the token, with a threat of a strategic reserve. BitMine Immersion Technologies and SharpLink raised millions of tokens in a single round and are privately worth billions of dollars today. Their strategy was similar to that of Bitcoin treasuries, which triggered more anticipation of such actions in industries.
BitMine itself announced a portfolio of more than 1.5 million Ethereum tokens valued at above seven billion dollars. The company further declared its intention to scale its holdings to billions to boost its long-term dedication further. SharpLink purchased more than 740,000 tokens in the same measure, making it another institutional buyer to reckon with.
Also, in conjunction with corporate actions, the role of whales was the key aspect of market dynamics. This week, a major investor bought $164 million of Ethereum, which indicates assured growth. Such large-scale accumulation further supported the bullish projections, and the smaller investors were reassured.
ETH Price Chart Gathers More Profits.
Technical analysis justified the opinion of further increased movement. Ethernet has managed to breach the barrier of 4,097 resistance level that acted as an upper limit in the prior trading cycle of last year. The breakout validated the buyer strength, which maintained gains by accumulating steadily.
The pennant bullish pattern was formed on daily charts, which analysts tracked. This framework is typically followed by another leg on a higher level, with special emphasis when mounted on swelling volumes. Ethereereum was trading above all the key moving averages, and the trend evidently favoured bulls.
Market analysts indicated the following resistance level of about $6,250, according to Murrey Math. A step in that direction implies a 37 per cent increase in the prices. Analysts warned, though, that a failure to hold above $4,097 would undermine the bullish outlook.
Several forces, such as the inflows of ETFs, whale buying and corporate reserves, supported Ethereum momentum. The analysts projected technical indications that were in line with good fundamental demand to provide more upside. Despite market volatility, sentiment was positive, and the target of 5500 seemed more and more realistic.
