Ethereum Price Rebound Explodes 9% as Institutional Floodgates Reopen
The institutional engines have reignited. Ethereum has executed a powerful Ethereum price rebound, this week skyrocketing 9% from its weekly low to decisively reclaim the $3,000 level. This surge is fueled by a massive $312.62 million injection into U.S. spot Ethereum ETFs this week ending a 3 weekly ETF negative outflows, signaling that smart money is back in accumulation mode. The buying frenzy isn’t limited to ETFs; on-chain tracker Arkham reported that Tom Lee-linked wallets funneled another $44.3 million into Bitmine, bringing its weekly haul to a staggering $185.6 million. The institutional conviction is undeniable, and it’s powering a technical setup that could trigger a historic breakout.
A Technical “Falling Wedge” Hints at a 50% Surge
The charts are painting an incredibly bullish picture. This Ethereum price rebound is forming a clear “falling wedge” pattern—a classic bullish reversal formation that signals seller exhaustion and an imminent upward explosion. As ETH challenges resistance near $3,108, momentum indicators are confirming the shift. The MACD has flipped positive, and the Woodies CCI is sustaining higher lows above its zero line. The recipe for a mega-rally is simple: a daily close above the wedge resistance between $3,150 and $3,200 would confirm the pattern’s breakout, projecting a measured move toward $4,500-$4,600. That’s a potential 50% gain from current levels.
The Bull Case Rests on Holding Key Support
For this bullish scenario to play out, ETH must defend its newly established support base. The critical level to watch is now $2,880. As long as the price holds above this shelf, the Ethereum price rebound has room to accelerate. However, a breakdown below this level would jeopardize the setup and could force a retest of support near $2,744. Fundstrat’s Tom Lee has publicly emphasized strong support at $2,500 and has boldly predicted an imminent “Ethereum supercycle,” adding his influential voice to the bullish chorus. The convergence of his fundamental outlook with this bullish technical pattern creates a compelling case for a major upswing.
My Thoughts
This isn’t just a bounce; it’s the start of a structural reversal. The combination of relentless institutional buying and a textbook bullish pattern is too powerful to ignore. The falling wedge is one of the most reliable patterns in technical analysis, and its 50% target is well within reason given the ETF-driven demand shock. I believe the odds strongly favor a breakout. When it happens, the move could be violent and fast, catching many underinvested traders off guard.