• Wall Street spot ETH ETF inflows hit $3.15B, signaling institutional trust amid market turbulence.
• Exchange ETH reserves drop to 15.34M, tightening supply after a 35% price decline.
• Analysts target $5K ETH as ETF demand, supply cuts, and DEX parity align.

Ethereum’s price trajectory has drawn attention as analysts speculate it may approach $5,000 despite recent declines. Currently trading near $2,700, the asset has dropped 35% since November, mirroring levels last seen in February 2024. While broader market uncertainty persists, three developments hint at possible upward movement.

First, institutional interest in Ethereum-linked investment products has grown. Data indicates consistent inflows into spot Ethereum ETFs, with Wall Street investors adding funds daily this month. Cumulative inflows now total $3.15 billion since these products launched. Such activity signals confidence among larger financial players, often preceding price adjustments.

Second, available Ethereum tokens on exchanges have decreased. Recent figures show roughly 15.34 million ETH in circulation, down from 16.2 million a month ago. Reduced supply, paired with steady demand, historically correlates with price increases. This trend suggests holders are retaining assets rather than selling, potentially tightening market liquidity.

Third, Ethereum’s network activity shows resistent. While Solana has gained attention for decentralized exchange volume, Ethereum now matches its transaction pace in certain metrics. This parity indicates sustained use despite competition, reinforcing Ethereum’s role as a foundational blockchain. Network usage often precedes shifts in investor sentiment, which can influence valuation.

ETHNews note these factors without guaranteeing outcomes. Ethereum’s path remains tied to broader economic conditions, including geopolitical tensions affecting global markets. However, the combination of institutional participation, supply constraints, and network utility creates a plausible case for upward pressure.

The $5,000 threshold, though speculative, represents a psychological benchmark. For context, Ethereum’s all-time high sits near $4,900, reached in late 2021.

ETHNews analysts caution that reclaiming previous peaks would require sustained momentum, but current data provides a framework for monitoring progress.

As developments unfold, Ethereum’s performance may offer insights into broader cryptocurrency market trends.

The current price of Ethereum (ETH) is $2,614.31 USD, reflecting a 4.63% decline in the past 24 hours. Over the last week, ETH has decreased by 1.14%, indicating a short-term bearish trend. However, in the past month, Ethereum has gained 23.2%, showing a strong recovery, while its year-over-year growth stands at 6.8%, reinforcing its long-term resilience.

Ethereum’s market capitalization currently stands at $315.31 billion USD, maintaining its position as the second-largest cryptocurrency in the market. The 24-hour trading volume is approximately $19.69 billion USD, signaling strong investor activity despite the recent price drop.

The circulating supply of ETH is 120.55 million, with no maximum supply cap, as Ethereum continues its role as the primary blockchain for smart contracts and decentralized applications (dApps).

From a technical perspective, Ethereum has been fluctuating within a 24-hour range of $2,619.97 to $2,771.95 USD. The key support levels to watch are $2,600 and $2,550 USD, where buyers might step in to prevent further declines. On the upside, resistance levels are found at $2,750 and $2,800 USD. If ETH successfully breaks above these resistance zones, it could regain momentum toward the $3,000 USD psychological barrier.

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