Crypto analyst Ali Martinez claims that Ethereum has set up a critical floor of support between the $2,060 and $2,420 price range. With over 10 million wallets holding over 69 million ETH between them, this zone is especially important since it shows high investor trust and accumulation.
Support floors, which serve to stabilize prices during market downturns, are important price levels where buying enthusiasm typically outweighs selling pressure.
At the press time, the token is trading at $2,555.91, up 1.97% as compared to the same time last day.
Investor Activity Suggests Strong Hold Sentiment Near Key Ethereum Price Range
Given the concentration of wallets and tokens in this range, it is possible that many investors entered the market at these prices and are unlikely to sell unless there is a big decline in price.
The strong base created by this intense on-chain activity may protect Ethereum from future price drops, making it more difficult for the asset to fall below this level without strong selling pressure.
Martinez’s work highlights the significance of keeping an eye on on-chain activity and wallet distribution as markers of market mood. Given Ethereum’s ongoing volatility, this support zone may serve as a crucial anchor point for price stability.
Ethereum may continue to rise if it stays above this zone, but a breach below it would indicate more widespread market weakness and lead to more drops.
Ethereum Climbs Above $2,550 Following Pectra Upgrade Boost
Ethereum (ETH) is currently selling at over $2,554.81 as of May 12, 2025, indicating a notable upswing after the Pectra upgrade on May 7.
Increased staking limits and better wallet features were among the improvements brought about by this update, which helped Ethereum’s price soar.
The outlook provided by technical indicators is conflicting. The fact that the Relative Strength Index (RSI) is over 50 suggests both positive momentum and the possibility of short-term consolidation.
Although it appears to be losing momentum, the Moving Average Convergence Divergence (MACD) is still in the bullish zone and may be a hint of a market correction.
The price of Ethereum has broken through important resistance levels; the next major resistance is expected to be around $3,000. Two probable pullback points, $2,320 and $2,111, are highlighted as support levels.
Also Read: Ethereum Foundation Allocates $32.65M in Q1 2025 to Strengthen Ecosystem Development
Ethereum’s Future Brightens With Upgrades, dApp Growth, and Institutional Interest
The continued network improvements, growing institutional interest, and wider usage of decentralized applications (dApps) all contribute to Ethereum’s strong price potential in the future.
Ethereum’s scalability and usefulness have been improved with the most recent Pectra upgrade, increasing its attractiveness to developers and users alike.
Furthermore, the emergence of Layer 2 solutions like Optimism and Arbitrum is boosting network activity by lowering transaction costs and enhancing user experience.
Ethereum’s staking returns and expanding significance in tokenized assets and decentralized finance (DeFi) are also attracting the attention of institutional players.
In the medium to long run, Ethereum may surpass its prior all-time highs if macroeconomic conditions are favorable and the cryptocurrency keeps up its rate of innovation.
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