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Cryptocurrency News Articles
Ether breaks multimonth downtrend as traders target $3,000 ETH price
May 08, 2025 at 08:01 pm
Ethereum TVL surges 41% to $52.8 billion in 30 days, with a 22% rise in daily transactions to 1.34 million, signaling strong network recovery.
Key takeaways:
Ether price is showing strength as it trades above a multi-month downtrend, with technical analysis indicating major resistance at $2,100-$2,800.
Ethereum’s TVL has surged by 41% to $52.8 billion over the last 30 days, while daily transactions rose by 22% to 1.34 million, signaling strong network recovery.
Network activity is heating up with a 50% increase in deposits on BlackRock’s BUIDL, a digital liquidity fund application, a 33% increase in Spark and 25% growth in Ether.fi.
Ether is setting up for a recovery toward the $3,000 psychological level, backed by recovering network activity, increasing TVL, and strong technicals.
Ether price seeks a return to $3K
Ether (ETH) price looks to be rounding out an downtrend that has been in play since mid-December, when the crypto token turned away from its 10-month high of $4,100.
Crypto technical analyst Mikybull Crypto shared a chart showing the ETH price breaking above a six-month descending trendline, with $2,000 and $2,250 being key resistance levels to watch, adding:
“Ether’s price broke above the downtrend line at $1,600 on April 22 when cooling macroeconomic tensions sparked a marketwide recovery.”
The 50-day simple moving average (SMA) at $1,775 is now acting as immediate support for Ether’s price.
Also, the relative strength index has seen a sharp increase, going from 56 to 66 over the last 24 hours, suggesting that bullish momentum is heating up.
Key levels to watch on the upside are the 100-day SMA at $2,100 and the supplier congestion zone between $2,500 and $2,800, where the 200-day SMA lies. Overcoming these barriers will likely push ETH prices higher, with $3,000 representing the short-term target for the bulls.
Another crypto analyst, Crypto Claws, said the ETH/USD pair was “primed for a bullish reversal,” setting the upside target between $2,500 and $3,500.
“$ETHUSD 1D chart looking primed for a massive bullish reversal! Potential short-term dip to $1450, but that’s just fuel for the next leg up. Targets: $2500, then $3500! Get ready for a significant price surge! #Ethereum #Bullrun2025 #Crypto”
Meanwhile, Crypto Salamanca told his X followers that with the latest Pectra upgrade-fueled momentum, “ETH could target $2,150-$2,700 in the coming weeks.”
Ethereum onchain metrics show strength
Ethereum remains the largest layer-1 blockchain based on the total value locked (TVL) and ranks second in DEX volumes.
Ethereum’s TVL has seen a significant recovery, surging from $44.5 billion on April 9 to $52.8 billion on May 8. This marks an impressive 41% increase over the last 30 days.
The recovery in onchain metrics is also evident in other areas. Deposits on BlackRock’s BUIDL, a digital liquidity fund application, have soared by 50%, while Spark has experienced a 33% increase and Ether.fi has seen a 25% rise in the last month.
Furthermore, Ethereum’s daily transaction count has seen a strong uptick, showcasing increased network activity. The coin's transactions per day increased by 22% over the last month to reach 1.34 million transactions.
However, the 95% drop in Ethereum fees year-to-date suggests that Ethereum’s rise to $3,000 might take longer than traders may wish.
Low transaction activity on Ethereum reduces ETH burning, making it inflationary as new coins issued for staking rewards outpace the network’s burn mechanism.
In addition, US-listed spot Ether ETFs saw $39.7 million in net outflows between May 5 and May 7, while similar BTC instruments experienced net inflows of $482 million over the same period, adding to recovery concerns.
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