Ethereum is finally seeing a noticeable rebound in its price as the second-largest cryptocurrency by market capitalization continues to break through significant resistance levels.

Following its upward trajectory, seeing almost 10% augment over the last week, discussions on Ethereum potentially reaching a up-to-date all-time high by the end of the year has gained momentum.

It is worth noting that with the ongoing ETH rally, interest in Ethereum futures has increased again, with market indicators pointing to bullish sentiment among traders.

More room to grow?

A CryptoQuant analyst known as ShayanBTC recently shared insights on Ethereum’s ongoing rally, highlighting the role of funding rates – a key indicator in futures trading. Funding rates reflect trader sentiment and indicate whether the market is mostly bullish or bearish.

According to Shayan, Ethereum funding rates have seen a noticeable augment in recent weeks, suggesting that demand for long positions is increasing.

Despite this bullish sentiment, the analyst mentioned that funding rates remain below Ethereum’s previous all-time high of $4,900, signaling that it has “not entered an overheated state yet.”

Meanwhile, funding rates, while indicative of bullish sentiment, also act as a warning signal of potential market corrections. Historically, keen increases in financing rates have been followed by sudden market corrections or liquidation cascades.

However, Shayan notes that current Ethereum funding rates are still manageable, suggesting that the market has more room to grow before such risks become critical.

Performance and prospects on the Ethereum market

Ethereum is currently on an upward trajectory, posting significant double-digit gains of approximately 15.6% over the past two weeks. These bullish results pushed ETH to break above the critical resistance level at $3,500, setting its sights on the next major resistance at $4,000.

Currently, Ethereum is trading at $3,563, reflecting an augment of 1.3% in the last 24 hours. However, this price represents a slight pullback from the 24-hour high of $3,682 recorded earlier today.

Additionally, Ethereum’s current price is just 26.78% below its all-time high of $4,878, highlighting the market’s gradual recovery.

Regardless of the bullish sentiment, Coinglass data shows that 98,389 traders were liquidated in the last 24 hours alone, and the total liquidation amount was $278.03 million.

Of this total liquidation amount, Ethereum accounts for approximately $63.33 million, of which $40 million comes from tiny positions and $23.3 million from long positions.

Given Ethereum’s current prices, a renowned cryptocurrency analyst known as Ali on X he repeated his goal for ETH. Ali said the medium-term goal remains $6,000 and the long-term goal remains $10,000.

Our medium-term goal for #Ethereum $ETH $6,000 remains… Long-term goal: $10,000! https://t.co/X4lodGGIVY pic.twitter.com/siQsJzelzE

— Ali (@ali_charts) November 27, 2024

Featured image created with DALL-E, chart from TradingView