Ethereum is once again capturing market attention after a prolonged period of underperformance, with multiple traders signaling that the world’s second-largest cryptocurrency may have already set a cycle bottom.
The renewed optimism follows a deeper pullback in ETH compared to Bitcoin, which culminated in long-term spot holders capitulating for the first time this cycle.
High-Conviction Calls Point to a $2.8K Cycle Bottom
Popular trader Astronomer is among those who believe that Ethereum’s recent $2.8K low marks a high-timeframe bottom.
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He cites extreme sentiment readings, cyclical structure, and historical analogs as supporting evidence. According to him, this level confirms a long-term bullish setup and signals the beginning of ETH’s renewed relative strength.
Astronomer maintains a confident outlook that Ethereum is positioned for a move beyond $5,000 in the current cycle.
On-chain data strengthens this narrative. Analytics firm Santiment reported on Tuesday that ETH gained 8.5% on the day, while whales and sharks accumulated approximately 934,240 ETH valued at around $3.15 billion over the last three weeks.
At the same time, small retail traders dumped roughly 1,041 ETH in the past week, highlighting a divergence between large-scale accumulation and retail selling.
Institutional inflows also support the bullish argument. Investor Ted Pillows noted that Ethereum ETFs recorded $177.7 million in inflows yesterday, with BlackRock alone purchasing around $35.3 million worth of ETH.
Analysts Eye $3,500 as the Next Major Breakout Level
While sentiment is improving, not all traders are prepared to declare a confirmed bottom. IncomeSharks, another crypto trader and analyst, notes that Ethereum must break above the critical $3,500 level before the market can “officially start celebrating.”
A decisive flip of the remaining SuperTrend indicator into bullish territory, he argues, would invalidate bearish pressure and open the door for a more sustained rally.
As of publication, Ethereum is trading at approximately $3,325, up 6.6% over the past 24 hours.
Why This Matters
Ethereum is at a critical turning point. Institutional inflows are rising, sentiment is improving, and traders believe the bottom is in. The next few days will show whether this recovery becomes a full-scale rally.
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People Also Ask:
A cycle bottom is the lowest price point in a market cycle, often signaling the start of a potential recovery or new uptrend.
Whale accumulation occurs when large holders purchase significant amounts of ETH. It often signals confidence in future price increases and can affect market momentum.
Investments from ETFs and large firms inject capital into the market, increasing demand and often supporting price growth.
