Original Article Title: "BTC Surpasses $110,000 Again, Will ETH See a Rally Opportunity?"

Original Source: Bitpush

Over the past 24 hours, Bitcoin (BTC) has surged by 3.7%, reclaiming the $110,000 mark and approaching the all-time high set in May. At the same time, Ethereum (ETH) has also risen by 3.8%, climbing back above $2,620, demonstrating its correlation with Bitcoin.

However, the key question is: as Bitcoin nears its all-time high, is Ethereum's increase merely a passive follow-through, or is it brewing for a more independent ETH market?

Analyst: ETH Will Reach $10,000 Within the Next Year

Renowned crypto market analyst DCinvestor made a bold prediction on social media that ETH will reach $10,000 or even higher within the next year.

He believes that the true driving force will no longer be retail investors returning, as they may have been "brainwashed," biased against the true value of ETH, and unable to buy back in. DCinvestor said: "Retail won't come back to ETH anymore, they are completely brainwashed by the 'psychological warfare,' seeing ETH as worthless. But they will be forced to watch ETH rise to $10,000 as corporations, governments, and Wall Street pour trillions of dollars into this chain."

DCinvestor compared this phenomenon to Bitcoin's cycle in 2017, pointing out that ETH's development is lagging behind BTC by two cycles but is progressing steadily. He emphasized that the new wave of market buyers will not care about market doubts or "concerns" since they are not even aware of the existence of those "old-school" critics.

Continuous Inflow of ETH ETFs: Clear Signal of Institutional Interest

Data doesn't lie. The latest report from CoinShares shows that since May 16, Ethereum-related investment products have led digital asset inflows for the second consecutive week, attracting $296.4 million and bringing the total seven-week fund flow to $1.5 billion.

CoinShares Research Director James Butterfill wrote: "This is the strongest inflow since the U.S. election," adding that this figure currently represents 10.5% of the total Ethereum assets under management.

Redstone Co-founder and COO Marcin Kazmierczak pointed out that the upward momentum of ETH seems to be driven by several factors: institutional ETF fund flows showing renewed interest in ETH products, as well as the market's growing expectations for Ethereum's roadmap upgrades.

At the same time, the ETH/BTC market cap ratio has risen above 0.14, seen as a potential signal to shift back to "risk-on" altcoins, marking a potential early "signal" of a broader altcoin season.

Pectra Upgrade Boost

Despite the recent relatively "dull" price action of ETH, its fundamentals remain strong. The market has high expectations for Ethereum's roadmap upgrades, with the Pectra upgrade completed last month (May 7) playing a significant role.

CoinShares Senior Ethereum Researcher Luke Nolan stated that while the Pectra upgrade did not bring about very significant singular changes, it included multiple improvements to the Ethereum protocol, laying the groundwork for further scalability in the future, with scalability being a long-standing bottleneck for Ethereum.

One of the key features of the Pectra upgrade is enhancing Ethereum's blockchain's ability to process "blobs" (temporary data storage units), helping to retain more data at the consensus layer. Nolan believes that sometimes a small narrative is enough to drive positive sentiment.

Bullish Technical Outlook

Looking at the Tradingview technical chart, Ethereum's current trend also presents bullish signals. At the time of writing, the price has bounced strongly from the May low to around $2,665 and is stably positioned above the weekly pivot point (PP) around $2,400-$2,500.

On the downside, $2,483-$2,485 forms immediate support, while the weekly pivot point and deeper Fibonacci support provide a solid foundation. Notably, the chart shows a potential "bullish flag" pattern, and a key "golden cross" has formed between the 50-day moving average and the 200-day moving average, both strong bullish signals.

ETH consolidating above $2,520 indicates short-term buying pressure dominance. Key resistance above points to R1 (around $2,900-$3,000) and previous highs, making bulls likely to continue attacking higher resistance levels in the near term. However, investors still need to closely monitor market volume and breakthroughs at key levels to confirm the sustainability of the uptrend.

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