Ethereum slid 3% to $2,555 today, testing its months-long consolidation between $2,400 and $2,800, where it’s been trapped since rocketing 80% from April’s $1,385 depths.
Despite the dip, $ETH’s $308 billion market cap and $25 billion daily trading volume remain unshaken pillars, keeping traders glued for the next breakout.
Is Ethereum’s 3-Year Underperformance About to End Explosively?
Ethereum is testing its 50-day moving average near $2,333. This level helped launch its 2020 rally, which was followed by $ETH skyrocketing to $4,891 in 2021. If Ethereum holds above it, analysts say $3,000 could be next—and summer might bring even bigger gains.
On-chain data adds weight to this outlook. CryptoNews reports that wallets holding 1,000-10,000 $ETH bought over 800,000 $ETH daily last week. On June 12 alone, they snapped up 871,000 $ETH.
These large investors now hold a total of 14.3 million $ETH, and their buying spree shows they’re betting big on Ethereum. Their confidence also suggests $ETH could soon break through key resistance levels.
BlackRock and Fidelity Pour $21M Into Ethereum—Is $3,000 Next?
Institutional investors appear to be participating actively in this accumulation phase as well.
According to SosoValue data as of June 16, Ethereum ETF inflows exceeded $21.3 million yesterday alone, with BlackRock and Fidelity leading the charge. This brings the total to more than $800 million in $ETH inflows recorded since June began.
Historically, sustained buying pressure at this scale has preceded major price breakouts.
Crypto market analyst TedPillows, an investment partner at OKX, has identified a developing golden cross formation on Ethereum’s price chart. The last occurrence of this pattern in May resulted in a 35% jump in $ETH within just three days. Pillows anticipates an even stronger rally this time.
Despite the current subdued price action, Ethereum remains the dominant player in decentralized finance.
With over 1,374 protocols operating on its blockchain, Ethereum maintains a total value locked (TVL) of approximately $65 billion, surpassing the combined DeFi TVL of all other blockchains.
Ethereum also leads the stablecoin sector with a market capitalization exceeding $127 billion, far ahead of Tron’s $79 billion. Solana and Binance Smart Chain trail distantly, each holding roughly $10.5 billion.
Nevertheless, both Solana and Binance Coin (BNB) have established new cycle highs, while Ethereum remains anchored to its 2021 peaks.
This performance gap has strengthened market sentiment that Ethereum is noticeably underperforming and requires rapid momentum to catch up with its peers.
Ethereum Golden Cross Channel Could Trigger a $3,000 Breakout
Ethereum’s current price action reveals a consolidation pattern within the mid-range of a parallel channel formation.
This extended period of sideways movement carries added importance as it indicates the cryptocurrency may be building momentum for an impending breakout.
The fact that it’s maintaining relatively stable levels around $2,541 while establishing this base could indicate ongoing accumulation by both institutional and retail participants.
Should Ethereum successfully break above the upper boundary of the parallel channel with strong volume confirmation, the pathway toward the $3,000 target becomes far more achievable.
This would represent approximately an 18% upside move from current levels, establishing it as a technically meaningful objective.
$ETH’s $2,801 Resistance Break Could Unleash Rally to $4,500
Ethereum is also developing a promising bullish pattern near the $2,440 support level. Should this formation confirm, it could trigger a multi-wave advance with projected targets at $3,300, $3,800, and ultimately $4,500.
These levels represent substantial upside potential from current price levels.
Before this upside scenario activates, $ETH must first overcome a key technical hurdle at the $2,801 resistance level. A decisive breakout above this threshold would validate the pattern and likely accelerate buying momentum.
The post Ethereum Whales Snap Up 871K ETH; BlackRock and Fidelity Bets Indicate Imminent $3K Breakout appeared first on Cryptonews.
