- Ethereum (ETH) is gaining momentum, up nearly 4% over the past week and 8% in 30 days.
- ETH burn rate surged 163% last week, potentially reducing supply and driving prices higher.
- Historical trends show ETH price hikes often follow burn rate increases.
- ETH’s technicals suggest a path to $3,500, with resistance targets at $2,810, $3,220, and $3,570.
Ethereum (ETH) has quietly been gaining momentum, with its value steadily climbing over recent weeks. Investors are beginning to take note of this upward trend, which has seen Ethereum increase by nearly 4% over the past week and a significant 8% over the last 30 days. These positive movements suggest that ETH could be heading for even higher targets in the near future.
As of now, Ethereum is trading at $2,652.58, supported by an impressive 24-hour trading volume of $67.41 billion and a market cap of $319.27 billion, securing a 13.84% dominance in the crypto market. In just the past 24 hours, ETH has experienced a 1.27% price increase, hinting at ongoing demand.
A major contributing factor to Ethereum’s recent rise is the notable surge in its burn rate. According to Lookonchain, the daily amount of ETH being burned has jumped by 163% in the last week. This increase in burned ETH, where tokens are permanently removed from circulation, often leads to reduced supply, which could potentially drive prices higher as demand remains strong.
Historical data further supports this trend. A chart tracking ETH prices alongside burn rates indicates that sharp increases in burned ETH typically precede price hikes. This pattern was evident in 2023, particularly in January and October when burn rates surged just before ETH prices followed suit.
Ethereum’s Path Toward $3,500
On the technical side, Ethereum’s recent price action is drawing attention. ETH has successfully rebounded from a support level formed by a descending broadening wedge on its daily chart. This bounce signals the potential for further upward movement, with resistance levels offering key targets for traders to watch.
Ethereum’s next significant milestones are $2,810, $3,220, and ultimately $3,570. Should the upward momentum continue, breaking through these levels could set the stage for ETH to reach new highs.
With both strong fundamentals and technical indicators aligning, Ethereum appears to be positioning itself for an exciting run. Investors and traders will be closely monitoring these price levels as ETH continues to chart its course toward $3,500 and beyond.
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