TLDR

Ethereum (ETH) surged 15% over 24 hours, reaching $1,800 on April 23
ETH outperformed Bitcoin’s 6% gain as the crypto market reclaimed $3 trillion in total value
ETH market dominance recovered from all-time lows of 7% to above 7.5%
Institutional selling and weak on-chain activity present ongoing challenges
Potential catalysts include staking ETF approval and the Pectra technical upgrade

Ethereum’s price has bounced back strongly after weeks of lackluster performance, helping to boost its market dominance which had recently fallen to historic lows. The world’s second-largest cryptocurrency surged nearly 15% over a 24-hour period, pushing above the $1,800 mark on April 23.

This impressive rally has outpaced Bitcoin’s more modest 6% gain during the same timeframe. The broader cryptocurrency market also benefited, climbing almost 5% to reclaim a total market value of $3 trillion.

Ether has now recovered nearly 30% from its April 9 crash to $1,400, sparking optimism among some market watchers. The recovery comes after ETH’s market dominance had dropped to all-time lows, touching just 7% on April 22 according to TradingView data.

Ethereum (ETH) Price

Technical Factors Behind The Surge

The recent price movement has brought ETH to a key technical resistance just below $1,800. A clear move above this level could pave the way for further gains toward $1,850 and possibly the psychologically important $2,000 threshold, which it hasn’t reached since early March.

Markus Thielen of 10x Research told Cointelegraph that it hasn’t taken much to drive Ethereum higher, describing the situation as a “heavily shorted market now experiencing a squeeze.”

From a technical perspective, Ethereum was oversold on both daily and weekly timeframes, creating favorable conditions for a rebound. The price has firmly established itself above the $1,650 level after weeks of moving sideways.

The breakout followed bullish technical formations on the hourly ETH/USD chart and a subsequent move above the 100-hourly simple moving average, reinforcing the strength of the current uptrend.

Institutional Pressures and On-Chain Challenges

Despite the price recovery, Ethereum continues to face pressure from institutional selling. Reports suggest that major players including Galaxy Digital, the Ethereum Foundation, and Paradigm have moved more than 72,000 ETH to centralized exchanges, often a precursor to selling activity.

On-chain metrics also show concerning trends. Transaction fees have dropped 56% in a week and 88% over three months, indicating reduced network activity. Month-to-month net flows from major wallets have fallen by 95%, suggesting waning investor engagement.

These metrics highlight a lack of organic demand, which will be necessary for any sustained price recovery in the future. The previous weeks showed diminishing buy interest while supply from major holders increased.

Jeff Mei, chief operating officer at crypto exchange BTSE, noted that Ether’s gains “were largely due to it tracking the price of Bitcoin and the overall market.” He added that Paul Atkins’ confirmation as chair of the US Securities and Exchange Commission had lifted market sentiment generally.

Potential Catalysts for Future Growth

Looking ahead, several factors could support further price appreciation for Ethereum. Shorts on CME futures, which had been dragging down the price, have largely closed. These trades were based on arbitraging ETF spot buying and futures shorting.

The reduction in short interest decreases downside risk, meaning any positive developments could have an outsized impact on price. Future catalysts include potential staking approval for Ethereum-based ETFs and possible U.S. Federal Reserve rate cuts.

Another positive development is the implementation of Ethereum’s Pectra update. Though still in early stages of rollout, this update aims to improve the protocol’s scalability and performance, potentially making Ethereum more attractive to developers and investors.

The ETH/BTC pair has recently fallen to 0.017, a five-year low, indicating that investors currently favor Bitcoin over Ethereum. This trend could accelerate as Bitcoin benefits more directly from regulatory clarity and ETF-driven inflows.

Crypto trader and analyst “Income Sharks” commented to their 640,000 X followers: “You can hate Ethereum all you want, but when it has a big day, the entire crypto ecosystem goes up.”

Market analyst “Ash Crypto” was even more bullish, saying ETH was “about to explode,” and drew comparisons between current ETH chart patterns and Bitcoin’s performance in late 2024.

$ETH IS ABOUT TO EXPLODE 🚀 pic.twitter.com/mMiFXpLzzJ

— Ash Crypto (@Ashcryptoreal) April 22, 2025

The market will be watching closely as Ethereum tests key resistance levels in the coming days. A break above $1,800 could open the door to further gains, while failure to maintain the current momentum might lead to consolidation before the next attempt.

The post Ethereum (ETH) Price: “About To Explode” Claims Analyst After Breaking $1,800 Resistance appeared first on CoinCentral.

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Filed under: News - @ April 23, 2025 10:23 am