Ethereum (CRYPTO: ETH) has rallied 24% over the past week, fueled by growing ETF inflows, regulatory clarity, and renewed institutional interest. With ETH approaching a key resistance level, traders are eyeing a breakout to $4,000.
What Happened: Analyst Benjamin Cowen noted that ETH may have bottomed for this cycle against Bitcoin (CRYPTO: BTC) , now aligning with its long-term logarithmic regression trendline.
While this may signal the start of a sustained uptrend for ETH, Cowen continues to caution against broad exposure to altcoins.
He draws parallels to previous market cycles, particularly 2017 and 2019, when altcoins initially rallied before collapsing to cycle lows.
Cowen expects similar downside risk for alts into September–October, potentially revisiting 25% range lows.
Cowen maintains that while ETH is showing resilience, the safer bet over altcoins might be rotating into Ethereum if ETH/BTC continues strengthening.
Also Read: Ethereum Surges 22% In A Week: Is This ETH’s ‘Moment Of Truth’?
Why It Matters: Nic Puckrin, founder of CoinBureau, attributes Ethereum's 23% weekly surge to two major regulatory wins, the CLARITY and GENIUS Acts.
The latter particularly boosts Ethereum-based DeFi platforms by focusing on yield-bearing stablecoins.
Puckrin also highlights rising institutional accumulation: SharpLink recently added $225 million in ETH to its treasury, and Peter Thiel-backed Bitmine Immersion disclosed Ethereum holdings in its reserves.
What's Next: Puckrin foresees ETH pushing toward $4,000 in the coming weeks if it clears $3,800, a key resistance level.
However, he warns against unchecked euphoria, noting that even in strong bull trends, corrections are natural and healthy.
Crypto trader Jelle highlights two critical resistance zones: the $3,500 level, and the bigger wall at $4,000.
A breakout above $4,000 would clear the path for major upside, especially as ETH also shows strength on the ETH/BTC chart.
Jelle notes Ethereum recently pierced key resistance on that pair and, if it holds, could chase multiple untagged highs.
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