06.07.2025 05:30

Ethereum's price recently exceeded $2,600, demonstrating strong bullish momentum fueled by increased trading volume and a substantial short squeeze. This upward trend invalidates previous bearish predictions, reflecting a surge in institutional investment and a strengthening market structure. The robust price action suggests a significant shift in market sentiment.

The cryptocurrency's breakout above $2,575 triggered intensified short-squeeze pressure, according to data from COINOTAG, positioning Ethereum (ETH) for further potential gains. This surge was accompanied by a 24-hour trading volume exceeding $22.7 billion, highlighting the considerable market force behind this upward movement. The break above the key $2,600 resistance level is a significant milestone.

This sustained buying pressure is underscored by a positive technical outlook. Ethereum's charts display higher lows and strong green candlesticks, indicating growing investor confidence, particularly among institutional players. The fixed circulating supply of 120.7 million ETH, secured by its proof-of-stake consensus mechanism, contributes to a scarcity narrative that fuels further demand. Consequently, Ethereum maintains its position as the second-largest cryptocurrency by market capitalization, currently trading near $2,605.

The price increase is further amplified by the dynamics of the futures market, where the recent rally exerts considerable pressure on short positions. This short squeeze adds another layer of momentum to Ethereum's upward trajectory, suggesting a potentially extended period of bullish activity. The combination of increased volume, technical strength, institutional support, and short-squeeze pressure paints a positive picture for Ethereum's short-term prospects.