Ethereum Surges Past $4,000: Analysts Predict Paradigm Shift and New Highs

Ethereum price trajectory remains bullish as the altcoin consolidates its position above $4,000, marking a 28% increase since Nov. 18. Despite a brief dip to $3,615 on Dec. 5, Ether has rebounded strongly, maintaining its higher-high and higher-low pattern on the 4-hour chart. At the time of writing, Ether is trading near its yearly high of $4,098, with a healthy relative strength index (RSI) remaining below the overbought threshold.

Ether Maintains Uptrend

Crypto analysts are optimistic about Ethereum’s future. An anonymous trader known as “Venture Founder” highlighted that the asset is nearing a significant breakout from a three-year ascending triangle pattern.

The trader anticipates a “paradigm shift” for Ethereum, with a bold price target of $15,937 by May 2025. A surge to this level would elevate Ethereum’s market cap beyond $1 trillion for the first time.

However, for these bullish projections to hold, Ethereum must maintain key support levels. Analysts stress the importance of closing its weekly candle at $3,800 to increase the likelihood of retesting its all-time high of $4,878.

Spot ETFs and DeFi Metrics Drive Momentum

Institutional interest in Ethereum is also intensifying, particularly in spot Ether exchange-traded funds (ETFs). After lagging behind Bitcoin ETFs earlier this year, Ether ETFs have begun to gain traction. Recent reports revealed the largest daily inflows since their launch, with $428.5 million entering the market.

BlackRock’s iShares Ethereum Trust has been a significant contributor, accounting for over $500 million in inflows this week alone, bringing its total to $2.6 billion. Since Nov. 18, spot ETH ETFs have attracted more than $1.3 billion, signaling growing confidence among institutional investors.

Ethereum’s decentralized finance (DeFi) ecosystem has also seen remarkable growth. According to data from DefiLlama, the total value locked (TVL) on Ethereum’s blockchain reached a yearly high of $77 billion on Dec. 5. This increase reflects growing adoption and robust utility in Ethereum’s DeFi space, further solidifying its position as a leader in the crypto market.

With growing institutional interest, positive technical patterns, and strengthening DeFi fundamentals, Ethereum appears poised for a transformative phase in the years ahead.