Key takeaways:
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Ether futures open interest has surged 40% in 30 days, while the spot ETH ETFs marked four consecutive weeks of inflows.
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ETH’s Gaussian channel indicator suggests a rally to $3,100 to $3,600 could occur.
Ethereum’s native token, Ether (ETH) , has consolidated between $2,300 and $2,800 for the past 30 days, but this sideways phase could be coming to an end. The 4-hour chart shows ETH retaining support from the 200-day exponential moving average (EMA), and the price is forming a hidden bullish divergence with the relative strength index (RSI). A hidden bullish divergence occurs when the price forms higher lows while indicators like RSI form a lower low, signaling a trend breakout.
Ethereum's hidden bullish divergence on the 4-hour chart. Source: Cointelegraph/TradingView
Ethereum futures open interest (OI) data from CoinGlass shows a 40% increase to $36 billion from $26 billion over the last 30 days, reflecting growing trader confidence amid price consolidation, a pattern that tends to precede breakouts.
Ethereum futures open interest chart. Source: CoinGlass
Spot Ethereum ETFs surge as BlackRock continues to buy
The spot Ethereum exchange-traded funds (ETFs) marked their fourth straight week of net inflows, adding 97,800 ETH, pushing total holdings to 3.77 million ETH.
Ethereum US spot ETF balance chart. Source: Glassnode
Meanwhile, BlackRock is quietly amassing Ether, holding 1.5 million ETH ($2.71 billion) in custody and tokenizing assets onchain. This asset management firm has bought $500 million in Ether over the past 10 days, reflecting institutional conviction in the altcoin, despite its price being 48% below its all-time high.
Cointelegraph reported that Ether-based investment products led inflows among crypto exchange-traded products (ETPs) last week, attracting $296 million despite a market slowdown as investors await regulatory clarity from the US Federal Reserve. This marks the seventh consecutive week of inflows, the best since US President Donald Trump’s 2024 election victory, with Ether ETPs now comprising over 10.5% of total crypto ETP assets under management. CoinShares also noted a significant recovery in investor sentiment.
ETH is back in the Gaussian channel midline
ETH price is also back above the mid-line of the Gaussian channel, a dynamic market trend indicator. The Gaussian or Normal Distribution Channel plots price movements within a dynamic range, adapting to market volatility.
Ethereum Gaussian channel analysis. Source: Cointelegraph/TradingView
Historically, rallies have occurred when Ethereum surpasses its Gaussian Channel midline. For instance, in 2023, ETH soared 93% to $4,000 following such a crossover, while in 2020, it skyrocketed by 1,820%.
With ETH stabilizing above this key indicator at $2,570, technical analysis predicts a potential push toward $3,100 to $3,600 if the momentum holds, supported by the channel’s historical accuracy in forecasting short-term gains.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
