Ethereum Eyes $3,800 as July Bull Run Gains Momentum

Ethereum (ETH) is on fire in July 2025, surging past the $3,170 mark in a strong bullish breakout that has analysts and traders eyeing further gains toward $3,800 and beyond. With renewed institutional interest, significant ETF inflows, and bullish technical patterns aligning, Ethereum’s uptrend appears firmly intact.

Ethereum Breaks Out: What’s Driving the Rally?

On July 16, Ethereum reached $3,172, its highest level in over five months, marking a 6.7% weekly gain. This breakout follows a decisive move above the key $3,067 Fibonacci resistance and confirmation of a “cup and handle” technical formation—a bullish chart pattern with a projected price target between $3,800 and $3,900.

Technical indicators further support the uptrend. The daily MACD has crossed above the zero line with growing bullish momentum, and the RSI has surged past 70, signaling strong buying pressure. Open interest in Ethereum futures has also climbed, and a recent 32.85% spike in derivatives volume confirms heightened speculative interest.

Institutional Money Flows In: Ethereum ETFs and Whale Activity

One of the most notable drivers of Ethereum’s July rally is the influx of institutional capital. According to Farside Investors, Ethereum-based ETFs recorded a net inflow of $192.3 million on July 15 alone. BlackRock’s ETHA led with $171.5 million, reflecting strong investor appetite for Ethereum exposure through regulated products.

In addition, whales are making big moves. Blockchain analytics platform Lookonchain reported over $465 million in ETH purchases from just two whale addresses within a week. One whale acquired 68,141 ETH ($213.8 million), while another scooped up 80,312 ETH ($252 million), signaling deep conviction in Ethereum’s price trajectory.

Ethereum Outpaces Bitcoin After GENIUS Act Buzz

Ethereum is also outperforming Bitcoin as market sentiment tilts in its favor. The ETH/BTC ratio surged nearly 6% following a statement from U.S. President Donald Trump indicating the GENIUS Act—legislation that could limit competing yield-bearing stablecoins—may pass a vote soon.

This development could eliminate alternatives that offer higher passive returns, potentially strengthening Ethereum’s role in DeFi and boosting demand further.

In early Wednesday trading, Ethereum rose by 6.2% while Bitcoin posted only a 1.6% gain. Retail sentiment around ETH has also risen, now categorized as “extremely bullish” on social trading platform Stocktwits.

Price Targets and Trading Strategies

Market data shows a 74% probability that Ethereum will hit $3,300 before July ends. Immediate support lies at $3,067, with the next resistance zone around $3,524. A break above that could lead to the $3,800–$3,900 range, completing the measured move from the cup and handle breakout.

For short-term traders, a pullback to $3,200 could present an entry opportunity, while long-term investors may consider accumulating ETH during dips, supported by sustained institutional interest and whale accumulation.

Traders are advised to use moving averages—like the 50-day MA around $3,300—and set trailing stop-losses to protect gains in case of market reversals.

Why Ethereum May Keep Climbing

Ethereum’s bullish momentum is reinforced by strong fundamentals. The network continues to lead the DeFi sector with $74 billion in total value locked (TVL), and over $125 billion in stablecoins are circulating within its ecosystem.

Additionally, Ethereum’s long-standing uptrend since 2022 remains unbroken, adding further confidence to bullish forecasts.

If institutional flows persist and broader sentiment stays positive, ETH could challenge previous cycle highs near $4,106 in the coming months. The confluence of technical strength, regulatory tailwinds, and capital inflows makes Ethereum one of the top crypto assets to watch this July.