Ethereum Could Hit $3,500 as RSI Signals ‘Buy’, Long-Term Target Could Reach $10,000

Ethereum's price rose close to $3,500 on Thursday, reaching its highest level since January 7th. The primary momentum comes from increased activity on the Ethereum network and continuous inflow into Ethereum spot ETFs. Some traders expect this upward trend to continue, with predictions that ETH could reach between $7,000 and $10,000 in the current growth cycle.

ETF Inflow Sets Record, Pushing ETH Price to 6-Month High

ETH has surged strongly in a short time, touching its highest level in 6 months on Binance. This growth is driven by increasing demand from investment institutions. Ethereum spot ETFs recorded a record capital inflow of $727 million on Wednesday.

In the past 5 days, Ethereum spot ETFs have recorded capital inflows of over $1.76 billion. The total ETH held by these funds represents approximately 4% of the total supply of this cryptocurrency.

Ethereum Network Activity High, Total Value Locked Increases

Ethereum's on-chain activity has increased significantly, demonstrating ETH's price strength

• The number of active addresses on the Ethereum network increased by 9.4% in the past 30 days and 2% in the past 24 hours, reaching 1.49 million on Thursday, according to data from Nansen.
• Daily active addresses also increased by 6.7% in the past 24 hours, rising to 463,880 addresses.
• Transaction fees on the Ethereum network increased by 139% in the past week, reaching $14 million. Specifically, network fees have increased by over 475% since July 5th, rising to $3.11 million on Thursday.

The high Ethereum network fees not only reflect the demand for ETH but also promote the development of Second-Layer Solutions and decentralized applications (DApps). This leads to a significant increase in Total Value Locked (TVL) on Ethereum, as more assets are being staked or used in DeFi.

Ethereum's TVL has risen to its highest level in 3 years, reaching $78.2 billion on Thursday, up from $57.2 billion on June 23rd – an increase of over 36% in just 3 weeks, according to data from defillama. Ethereum maintains an undisputed leading position in TVL with a market share of 58%. Meanwhile, Solana has a 7.2% market share, and BNB Chain accounts for 5% of layer-1 chains.

Ether's RSI Indicator Signals ETH Price Could Rise to $10K

Historically, ETH's Relative Strength Index (RSI) typically reaches a dip around 40 before experiencing significant price increases. This "buy" signal is considered a positive indicator for the potential of ETH's price to continue rising in the near future.

In the past, whenever the RSI showed a similar signal, Ether's price surged 1,360% in 2021 and 350% during the 2023-2024 period. In April, the famous crypto analyst Mikybull Crypto previously commented that "this rare buy signal cannot be ignored". According to Mikybull Crypto, Ether's price could reach between $7,000 and $10,000 when the RSI reaches the upper band.

Other analysts also believe that ETH could rise to $10,000 or higher this year. This prediction is based on fractal patterns in technical charts, the price breakout of the ETH/BTC pair, and the increasing demand from institutions through ETF funds and Ethereum treasury management companies.

This article does not contain investment advice or recommendations. All investment and trading decisions involve risks, and readers should conduct their own research when making decisions.