Ethereum Surpasses $3,000 for the First Time in 2025 After a Long Battle - Next is $4,000?

Ethereum has surpassed the $3,000 threshold for the first time in 2025, currently trading at $3,020.86, marking a significant change from the low of $1,794 in April.

This milestone was achieved when Bitcoin surged to a new record high of over $118,400, creating a perfect condition for the second largest cryptocurrency to begin its own parabolic growth. This breakthrough came after an eight-month-long struggle during which the price of Ethereum fell from an opening level of nearly $3,298 in January to its lowest point of the cycle in April. Historical price data shows a tumultuous journey in 2025, with February closing at around $2,900, March at $2,650, and a catastrophic collapse in April down to $1,794 before starting to recover. The recent statement by President Trump on Truth Social that cryptocurrency is "superior" has caused significant buying pressure in the digital asset markets. The moment Trump confirmed, along with the unprecedented weakness of the dollar, created ideal conditions for the rise of risky assets, with institutional investors seeing this as a signal that monetary policy would continue to be loosened. The breakthrough of Ethereum coincides with the explosive price surge of Bitcoin surpassing $117,000, liquidating more than $1.14 billion in leveraged positions within 24 hours. The mere act of liquidating Ethereum has contributed to the short-selling situation across the market, pushing both cryptocurrencies to new highs. The Collapse of the USD Drives the Rise of Cryptocurrency on Major Assets Trump's proposal to cut interest rates by 300 basis points has created a strong momentum for alternative assets, as the dollar is experiencing its worst performance since 1973. The Dollar Index has decreased by 10.1% as of now, trading 6.5 points lower than the 200-day moving average, the largest range in 21 years. Emergency monetary intervention in a developing economy, with an annual growth rate of 3.8%, will push inflation above 5% while causing the dollar to decrease by an additional 10%. Historical precedents warn against such aggressive policies, as the Federal Reserve has never implemented cuts exceeding 75 basis points outside of a recession. Kobeissi Letter's analysis predicts that asset prices will rise sharply after interest rates may be cut, with gold prices heading towards $5,000 an ounce and capital continuing to flow into cryptocurrencies. The correlation between Bitcoin and the weakening of the dollar makes digital assets the primary beneficiaries of currency devaluation and depreciation. The adoption of corporate treasuries is accelerating as companies seek protection against currency depreciation, with over $1 billion allocated to cryptocurrency treasuries just this week. The institutional revolution combined with retail FOMO creates continuous buying pressure. According to 10X Research, Bitcoin ETFs have purchased $15 billion worth of BTC since mid-April, with stable demand from institutions supporting higher trading ranges. Trump's cryptocurrency-friendly policies include the establishment of a national cryptocurrency reserve fund and the appointment of cryptocurrency-supporting officials to key management positions. Technical Analysis Confirms Breakout Bullish Pattern The daily chart of Ethereum shows a textbook breakout scenario after months of consolidation in a descending channel. This asset has taken quite a long time to form higher and lower levels, fluctuating between $4,000 and $1,500, before breaking decisively above the resistance of the Ichimoku cloud.

The breakthrough of the Ichimoku cloud indicates a shift from a downtrend to an uptrend, with prices expected to reclaim the psychological level of $3,000. The technical setup determines the main support level at 2,950 - 3,050 dollars after the breakout, with gradually forecasted levels of 3,600 dollars, 4,200 dollars, and 4,800 dollars. In fact, according to MerlijnTheTrader, the weekly outlook even provides stronger bullish confirmation, indicating a clear recovery of the resistance level at $2,200 with minimal retracement.

Price volatility indicates strong buying pressure across multiple time frames, with a forecast showing a blue arrow pointing towards $10,000 based on historical bull market patterns. The broader context of Bitcoin setting a new high above $117,000 provides additional momentum for Ethereum, which often outperforms Bitcoin in percentage terms during parabolic phases. The previous resistance level at $4,000 represents the next major target of historical significance as the peak in the cycle. The main risk factors include failing to maintain support levels above $2,800-$2,900, which could indicate false breakout scenarios and the possibility of a retest of the $2,200 level. However, the current upward momentum and the participation of institutions indicate that the price will continue to rise to the initial level of 4,000 dollars. Based on technical indicators and market structure, Ethereum is positioned to continue rising to the range of $3,600 - $4,200 in the near future, with the potential to increase to $4,000 or higher if Bitcoin's upward momentum is maintained. $ETH {spot}(ETHUSDT)