The Awakening of Giants: The Rise of Ethereum is Not a Coincidence, But a Build-Up to Action

Behind the "resurrection" of Ethereum: It is not an accident, but a long-planned move.

Recently, Ethereum seems to have received a shot of adrenaline, with prices soaring from around $1600 in mid-May to nearly $2800. Spot Ethereum ETF funds have seen net inflows for 16 consecutive days, totaling over $890 million. On the surface, this rebound appears to be a "hype" driven by ETFs, but in reality, the on-chain fundamentals are the true strength that allows it to stabilize and even soar against the wind. The hot on-chain trading, the rebound of active addresses, the explosive growth of Layer-2, and the continuous increase in ETH staking are the core forces behind Ethereum's strong rebound. ETH does not rely on empty talk, but is gradually showing everyone through data and structure: the big brother is still here and getting stronger.

Three core pillars: on-chain activity, supply contraction, Layer-2 explosion

Firstly, the total trading volume of Ethereum's DEX reached 136.8 billion USD in the past 30 days, far surpassing other so-called "Ethereum killers" (like Tron and Avalanche, which haven't even touched 5 billion USD). The number of transactions on the network hit a new high since the peak in 2021—42 million transactions, while transaction fees also rose to 42.5 million USD, doubling from April. Even more exaggerated, the ETH staking rate reached 28.3%, and the supply of ETH available for trading has dropped to a historic low of only 16.33 million coins—more and more coins are being "locked up", and the amount available for sale is decreasing, naturally pushing prices up due to supply pressure. Additionally, the total supply of stablecoins has also reached a historic high of 125 billion USD, indicating that the "ammunition" on-chain is becoming increasingly abundant.

The technical pattern is "bullish", and institutions are quietly accumulating positions.

From a technical perspective, ETH has formed a classic "cup and handle" pattern. As long as it successfully breaks through the neckline at $2800—$3000, the target will point directly to $4100. Meanwhile, open interest (OI) has hit a new high of $39.2 billion, and financing rates are continuously rising, indicating that bulls are willing to pay the price to bet on a rise; daily trading volume has also surged by 114%, showing a strong return of market participation. More importantly, all of this is not driven by retail FOMO, but rather the real institutional players quietly accumulating positions. Institutions have also been active: BlackRock bought 220,000 ETH, Galaxy withdrew 108,000, and Fidelity and SharpLink have also invested significant amounts of money, with ETH becoming a value bargain in their eyes.

Looking ahead: $3000 is the starting point, not the endpoint.

If last month ETH was pulled out from the "ICU", now it is preparing to participate in a marathon. The key going forward is to hold the $3000 threshold; if it stabilizes there, then $3200, $3600, $4000, and even $5000 are waiting for you to see. From a longer-term perspective, the Pectra upgrade in May, although not eye-catching, has quietly improved Ethereum's underlying performance, paving the way for future high-frequency scenarios such as DeFi and AI. The ETH/BTC exchange rate is also quietly recovering, reversing from its six-year low in April. Once it breaks through the two key levels of 0.03 and 0.045, the market may usher in a real "altcoin season". But don't forget, while the market is hot, risks remain, and black swans may still disrupt the rhythm. Can ETH reach the finish line? We still need to continue watching the resonance of on-chain data, institutional behavior, and macro trends.