Did Ethereum Price Rally 60% In Just One Month? $3,500 $ETH Soon

Ethereum Surges 60% in a Month: What's Fueling the Rally and What's Next for ETH?

Ethereum (ETH) has experienced a remarkable resurgence, climbing over 60% from its April lows to trade at approximately $2,435.68 as of May 10, 2025. This rally has reignited optimism among investors and analysts, prompting discussions about the factors driving this surge and the potential trajectory of ETH in the coming months.

Source: CoinMarketCap

What's Driving Ethereum's Recent Surge?

1. Global Trade Optimism

The announcement of a new trade agreement between the United States and the United Kingdom has alleviated investor concerns following previous tariff-related tensions. This renewed optimism in global trade has positively impacted risk assets, including cryptocurrencies like Ethereum.

2. Ethereum Network Upgrades

Ethereum's ongoing development and upgrades have bolstered investor confidence. The network's transition to proof-of-stake and the implementation of the Dencun upgrade have improved scalability and reduced transaction costs. These enhancements make Ethereum more attractive for decentralized applications and institutional adoption.

3. Institutional Investment and ETFs

The approval and launch of Ethereum Spot ETFs have opened the door for increased institutional investment. These ETFs provide a regulated and accessible avenue for institutions to gain exposure to Ethereum, contributing to the recent price surge.

4. Whale Activity

Significant purchases by large investors, often referred to as "whales," have been observed. These substantial acquisitions signal strong confidence in Ethereum's future prospects and can influence market sentiment positively.

Source: X

Ethereum Price Predictions: What Lies Ahead?

Analysts have provided various forecasts for Ethereum's price trajectory:

• Short-Term: If the current momentum continues, Ethereum could test the $2,750 resistance level in the coming weeks.

• Mid-Term: Over the next 2–3 months, ETH might rally towards the $3,500 mark, contingent on sustained institutional interest and favorable market conditions.

• Long-Term: By the end of 2025, some experts predict Ethereum could reach between $10,000 and $14,000, driven by broader adoption, technological advancements, and increased utility in decentralized finance and other applications.

Conclusion

Ethereum's recent 60% rally is underpinned by a confluence of positive factors, including global economic developments, network upgrades, institutional investment, and significant whale activity. While the outlook remains optimistic, investors should remain vigilant, as the cryptocurrency market is inherently volatile and subject to rapid changes.

Writer @Erlin

Erlin is an experienced crypto writer who loves to explore the intersection of blockchain technology and financial markets. She regularly provides insights into the latest trends and innovations in the digital currency space.

 

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