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Ethereum Soars as U.S. Institutions Fuel Record-Breaking Dip-Buying Spree

Following a market downturn, Ethereum has experienced a major increase in institutional purchasing; the Coinbase Premium Index reached a 2025 peak of +6.0, showing robust U.S. institutional demand. The premium shows the pricing difference between Binance, representing worldwide retail markets, and Coinbase, a hub for U.S. institutions, therefore indicating institutions are paying extra for Ethereum. Following a flash crash on October 10, 2025, which drove Ethereum to $3,686, companies like Bitmine Immersion Technologies, headed by Tom Lee of Fundstrat Capital, took While 15 whale wallets accumulated 406,117 ETH worth $1.6 billion, 128,718 ETH valued at $480 million were recorded. Additionally, U.S. spot ETH ETFs, mostly custodied by Coinbase, measured $1.3 billion of last week's $1.48 billion in worldwide Ethereum product inflows, bringing the annual total up to $13.7 billion.

Encouraged by institutional accumulation, Ethereum's recovery to $4,134, an 8% surge from recent lows, was accompanied by a 19% rise in trading volume to $56.2. billion, a 9.3% increase in open interest to $48 billion, and a 52.9% rise in futures volume to $128.1 billion. Historical patterns indicate that such Coinbase Premium rises usually come before major price increases; as seen during the November 2024 ETF debut and mid-2025 whale accumulation, each accompanied by 20–40% gains. With the upcoming Fusaka upgrade in December 2025 set to increase Ethereum’s block gas limit, analysts predict potential price targets of $4,600-$5,000 if institutional buying persists.

ETHUSD pared some of its gains due to profit booking.  It hit a high of $4759 this week and is currently trading around $4521.

Oscillators and moving averages to forecast the trend of ETHUSD

 

CMP- $4185

 

EMA (Daily chart)

 

55-EMA- $4231

 

200-EMA- $3529


365-EMA- $3216. The pair trades above the short and long-term moving averages.

 

Previous week low- $3510 (200-day EMA and Oct 10th low). Any breach below $3500 will drag the pair down to $3200/$3000.

 

Major Resistance - $4280.  Any break above $4280 confirms minor bullishness, a jump to $4770/$5000/$5263.

 

Indicators (daily chart)

 

CCI(50)- Bearish

 

ADX- Neutral

 Investment Strategy for ETHUSD

It is good to buy on dips around $3825-30 with a stop loss around $3800 for target profits of $5000/$5260.

 

 

 

 

 

 

 

 

 

 

 

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