Ethereum Climbs Above $3000 as Bitcoin Rally Boosts Crypto Market

Ethereum has crossed the $3,000 threshold for the first time in five months, driven by renewed energy in the crypto space from Bitcoin's latest all-time highs. This milestone marks a significant recovery for the second-largest digital asset, which last traded above this level on February 2. After peaking at $4,100 in December, Ethereum faced a steep decline to around $1,387 in April during market disruptions linked to the Trump "Liberation Day" tariff changes.

Unlike Bitcoin, which has continued to set new records, Ethereum still sits about 38% below its all-time high of $4,878 from November 2021. As of today, Ethereum trades at $3,024, reflecting an 8.9% increase over the past 24 hours. This upward movement highlights how broader market sentiment has been lifting up the rest of the market, with coins like Solana seeing 6% gains over the past day.

The surge aligns with strong performance across the crypto ecosystem, where investor confidence appears to be building steadily. Traders point to technical indicators showing Ethereum breaking key resistance levels, suggesting potential for further gains if momentum holds. Recent data from exchanges confirms higher trading volumes accompanying this price action.

Ethereum ETFs Drive Record Inflows

BlackRock's ETHA spot Ethereum exchange-traded fund recorded $300.9 million in net daily inflows on Thursday, setting a new high as Ethereum approached $3,000 again. This figure contributes to a five-day total of $623.4 million, surpassing the prior record of $292.7 million from December 5, 2024. The inflows demonstrate growing institutional interest in Ethereum-based products since their launch in July 2024.

Overall, U.S. spot Ethereum ETFs saw $383.1 million in net inflows that day, with contributions from several providers. Fidelity's FETH added $37.3 million, while Grayscale's ETH and ETHE brought in $20.7 million combined. Bitwise's ETHW and VanEck's ETHV followed with $18.9 million and $3.2 million, respectively, and $2.1 million from another fund.

Other ETFs reported no flows for the session, indicating selective investor focus on leading options. Analysts note this pattern reflects a maturing market where established names attract the bulk of capital. The consistent inflows over recent days underscore Ethereum's appeal amid the current rally. Nate Geraci, president of NovaDius Wealth Investment and Portfolio Management, highlighted the achievement in a statement. He described it as a new daily inflow record for the iShares Ethereum ETF, exceeding $300 million. Geraci also called it the second-best day for spot Ethereum ETFs since their introduction last summer.

This activity comes as Ethereum's price action draws comparisons to earlier cycles, where ETF approvals often preceded sustained growth. Market participants watch for signs of continued buying pressure, especially with Bitcoin leading the charge. The interplay between these assets remains a key factor in overall crypto dynamics.

Looking ahead, Ethereum's position below its historical peak leaves room for optimism among holders. Technical charts show potential support levels around $2,800 if any pullback occurs. Yet the recent breakthrough suggests buyers are in control for now.

Institutional adoption through ETFs like ETHA plays a crucial role in this narrative. BlackRock's fund now holds substantial Ethereum reserves, bolstering long-term confidence. Other providers' performances add to the collective strength of these investment vehicles. The broader implications tie into how cryptocurrencies respond to economic shifts. With tariffs and policy changes in the backdrop, Ethereum's resilience stands out. Traders anticipate more volatility but see upside potential based on current trends.