Ethereum (ETH) Shows Resilience Amid ETF Outflows, Analysts Target $4,400
Ethereum (ETH) Shows Resilience Amid ETF Outflows, Analysts Target $4,400
Ethereum (ETH) is demonstrating strong resilience, with analysts targeting $4,400 and potentially $4,955, even as spot ETFs experience significant outflows totaling $508 million. Despite a recent 12% weekly drop, ETH has rebounded above $3,400, supported by robust technical indicators and growing institutional conviction. Upcoming catalysts like the 'Fusaka' upgrade and record application revenue are further fueling optimism for the network's long-term value, despite ongoing macroeconomic uncertainties. Meanwhile, a related article notes Bitcoin whales have been dumping BTC, contributing to price drops.
Ethereum's Market Resilience and Technical Outlook
The cryptocurrency market is closely observing Ethereum (ETH) as it showcases notable resilience amidst market volatility. Despite considerable outflows from Ethereum spot ETFs, amounting to approximately $508 million over the past week, the second-largest cryptocurrency is maintaining strength. Analysts are presenting a cautiously optimistic outlook, with targets set for $4,400 and potentially extending to $4,955.
Technically, ETH has rebounded impressively from a sharp 12% weekly decline, stabilizing above the $3,400 level. Key technical analysis points to a break of a bearish trend line and clearing of the 50% Fibonacci retracement. Momentum indicators, including MACD and RSI, are entering bullish territory, suggesting a favorable upside if critical resistance levels are overcome. The $3,200–$3,350 liquidity zone has proven to be a strong support base.
Institutional Sentiment and Network Fundamentals
While ETF redemptions might suggest a short-term cooling of enthusiasm, institutional sentiment for ETH appears to be on firmer ground, viewed as a strategic recalibration rather than a full withdrawal. From a fundamental perspective, despite a 24% drop in Total Value Locked (TVL) over 30 days, Ethereum’s application revenue reached record highs in mid-October, driven by stablecoin activity and increased network usage. The anticipated “Fusaka” upgrade, slated for early December, is expected to enhance scalability and security, thereby boosting Ethereum's long-term value propositions.
In contrast, an external observation highlighted that Bitcoin whales have been engaged in significant selling activity, contributing to a downward pressure on BTC prices.