The recent upward movement of Ethereum (ETH) has caused a stir in the crypto market, with the price rising by over 10% and surpassing the $1,800 mark for the first time. This milestone, achieved on April 23, 2025, on exchanges like Coinbase and Binance, was accompanied by an impressive trading volume of over 25 million ETH, indicating intense market participation.
Drivers of the Ethereum Rally
The recent rally was fueled by several technical breakthroughs. Ethereum sequentially broke through key resistance zones at around $1,650 and $1,700, ultimately overcoming the $1,800 mark. Additionally, the number of active addresses in the Ethereum network increased by about 15% over the past week to around half a million, further signaling rising interest and usage.
Impact of Major Investors
Reports of increased activities from crypto whales, large investors with substantial ETH holdings, underscore the momentum. These movements are often perceived as indicators of impending larger price movements. The combination of rising price levels, high trading volumes, and growing whale activity suggests that institutional or large private investors are increasingly building or adjusting positions in Ethereum.
Market Sentiment and Futures Market
In parallel, a significant decrease in short positions in the CME futures market is observed. The difference (basis) between futures price and spot price has decreased from 20% in November to just 5%, indicating a waning bearish sentiment among professional traders and arbitrageurs.
This constellation overall indicates a growing institutional interest as well as positive market expectations regarding Ethereum in the near future.