Ethereum has seen an impressive 35% gain since last Tuesday, marking a bullish breakout as it tests key supply levels for the first time since overdue July. Investor sentiment is increasingly hopeful, driven by the enhance in Ethereum activity on-chain.

Key data from IntoTheBlock shows that transaction volume on the Ethereum mainnet has reached its highest level since July, a bullish signal highlighting renewed interest and activity on the network. This enhance in volume is often seen as confirmation of a breakout, in line with the expectations of investors who expected a mighty rally towards Ethereum’s yearly highs.

As momentum picks up, ETH is currently at a key point: if it can maintain strength above these up-to-date levels, it could set the stage for further gains as the broader cryptocurrency market grows alongside Bitcoin.

The next few days will be crucial for Ethereum as investors will watch to see if the bullish sentiment can continue and push ETH higher into up-to-date price territory.

Ethereum’s bullish trend begins

Ethereum has entered a up-to-date phase of growth after eight months of sustained selling pressure and significant accumulation thanks to astute money. After a long period of subdued price action, ETH is finally rising, signaling a trend reversal that many analysts and investors have been eagerly waiting for.

Data shared by IntoTheBlock on the X platform shows that transaction volume on the Ethereum mainnet has increased significantly, reaching almost $60 billion settled over the past week – the highest level since July. This surge in volume is a clear indicator of renewed market interest and suggests that more and more investors are actively trading and accumulating ETH.

When trading volume increases as prices rise, it often signals well demand and high market confidence, confirming the likelihood of a sustained uptrend.

The next few months are expected to be volatile due to increasing speculative interest and trading activity, with many investors positioning themselves for significant gains. Despite expected price fluctuations, analysts agree that Ethereum’s next main target is its yearly peak of $4,000. A break of this level would confirm Ethereum’s bullish momentum and set the stage for potential up-to-date all-time highs, which is in line with broader market optimism.

ETH consolidates above $3,000

Ethereum is trading at $3,180 after recently rising to a local high of $3,250. After a mighty weekend rally, the price has stalled, indicating the need for consolidation before another potential breakout. This period of sideways movement may be necessary for ETH to establish support and prepare for further gains, as it allows buyers to gain momentum while absorbing any short-term selling pressure.

Key technical levels show that bullish sentiment is likely to strengthen if ETH maintains its position above $2,950, in line with the 200-day moving average (MA). Maintaining this critical support level would mean that buyers remain in control, setting ETH up for a potential surge towards $3,500 soon.

However, it is also possible that ETH may need a few days to gain the momentum needed for another significant move as investors evaluate the recent rally and consider upcoming catalysts.

Meanwhile, the market appears hopeful, with analysts noting that maintaining levels above the 200-day MA is key to confirming the long-term uptrend. The ETH consolidation phase may be the basis for the continuation of the upward trajectory.

Featured image from Dall-E, chart from TradingView