Ethereum (ETH) climbs above $2,000 as bullish momentum returns

Ethereum (ETH) is trading near $2,249 after market participants defended the $2,000 support region. Data points to a renewed increase in buying interest, with derivatives activity and exchange-traded fund (ETF) flows suggesting stronger demand.

Derivatives shift signals renewed buy-side pressure

Observers tracking Ethereum futures report that purchasing activity has moved ahead of selling pressure. One measure of this balance is taker volume, which has remained positive continuously since the beginning of March.

Analyst Darkfost said buy-side pressure is continuing, with taker volume reaching $104 million. He noted that this sustained shift in Ethereum’s derivatives market has not been seen since the previous bear cycle.

Darkfost added that this represents a regime shift in ETH derivatives: while net taker volume has been negative for most of the time since 2023, it is now positive.

Futures participation and Ether ETF flows

Darkfost also suggested that the current setup could support an upward trajectory if it persists alongside improving spot market conditions. He pointed to growing futures participation as a reinforcing factor.

Open interest in Ethereum futures has risen to 6.4 million ETH, approaching the record high of 7.8 million ETH set in July of last year. After falling to 5 million ETH in October, open interest has recovered, indicating continued engagement in derivatives trading.

Ether spot-tracking ETFs also saw renewed inflows, with $120 million in net additions on Monday—the strongest daily performance since mid-March. The inflow reversed a short period of withdrawals, indicating renewed accumulation by institutional investors in the United States.

Price action and key technical levels

Ethereum briefly pushed above $2,250 before encountering resistance. On the hourly timeframe, technical charts showed a breakout above triangle pattern resistance around $2,150, though the move later moderated.

Technical analysts said the broader chart remains favorable as long as the $1,800 to $2,000 support region holds. This zone coincides with the 20-day exponential moving average and the lower boundary of a symmetrical triangle formation.

Analyst Ted Pillows said ETH could extend gains if $2,000 remains resilient. He warned that a breakdown below that level could lead to a decline toward fresh yearly lows.

On-chain accumulation and MVRV signals

On-chain cost basis analysis also highlights the importance of the $2,000 area, with more than 3.5 million ETH tokens accumulated around that price point. A further buying concentration sits between $1,750 and $1,800, where 1.36 million ETH were acquired. If that zone fails, the triangle pattern projects a potential target near $1,460.

Market Value to Realized Value (MVRV) compares Ethereum’s current price to the average price at which holders acquired their ETH. Ali Charts noted that the 0.80 MVRV band is positioned around $1,880. Historical patterns suggest this level often corresponds to seller exhaustion and can attract long-term accumulation.

Near-term levels to watch

For near-term price action, critical support levels are cited at $2,220, $2,165, and $2,120. Overhead resistance is concentrated near $2,250 and $2,275, with current price action holding stability above $2,200.