Several indicators point to an extended rally

TLDR

Ethereum recently surged more than 10%, breaching above $3,300 as whale stocks and declining selling pressure show high momentum Daily transactions increased from 1.1M to 1.22M in three months Trading volume increased 61% to $45.19 billion Technical indicators at the next target They suggest that the basis may rise at $3,550.

Ethereum's price has soared above $3,300, a 10% gain in recent trading sessions, fueled by growing network activity and institutional demand. The second largest cryptocurrency by market capitalization is showing several signs of strength on various metrics.

The latest price action comes as daily transactions on the Ethereum network rose from 1.1 million to 1.22 million over the past three months. This increase in network usage demonstrates the adoption and utility of the blockchain platform.

As shown by chain data, large wallets, commonly known as Wells, are collecting Ethereum. These rallying patterns indicate a reduction in selling pressure in the market as long-term holders protect their positions.

Transaction volumes saw a sharp increase, rising 61 percent to $45.19 billion. This trading activity reflects higher market participation and growing demand from retail and institutional investors.

The futures market is showing signs of optimism, with open interest rising by 13%. This increase suggests that traders are taking more long positions, indicating positive sentiment about Ethereum's price direction.

Technical analysis shows a bullish pattern with the price holding above the $3,250 level and the 100 hourly simple moving average. This technical structure usually precedes further upward movement.

Market data indicates strong support near the $3,250 zone, with resistance levels established around $3,420. The price action suggests potential for further gains if these resistance levels are cleared.

While new Ethereum addresses show growth, they remain below previous bull market levels. This dimension is likely to continue with the increasing number of Layer 2 solutions, particularly the use of base Ethereum as a settlement layer.

Short-term investor activity was particularly high, with many traders taking positions in anticipation of further inflation. The balance between short-term trading and long-term holding appears to favor price stability.

The exchange flow is consistent, indicating that investors are moving their holdings to private wallets for long-term storage. This behavior is usually indicated by a decrease in immediate sales pressure.

The current price action has established several minor resistance points, with $3,385 serving as an immediate barrier. A break above this level could pave the way to the $3,550 mark.

Support levels have formed at $3,300 and $3,250, which is the basis for recent price action. These levels are being closely watched by traders as potential entry points for new positions.

Network metrics continue to show healthy growth, with gas payments remaining relatively stable despite increased transaction volume. This stability reflects efficient network utilization and mature market dynamics.

The hourly chart shows a triangle formation with resistance at $3,360, suggesting a breakout point for the next price move. This technical pattern is being closely watched by market participants.

According to the latest market data, Ethereum is trading at $3,376.69, which represents an increase of 8.51% in the last 24 hours and an increase of 9.88% in the last week.