Can Ethereum follow in Bitcoin's footsteps to reach ATH?

Ethereum (ETH) continues to maintain a strong rise to the sky, surpassing the threshold of 4,500 USD in recent trading sessions and approaching the all-time high (ATH).

The second largest cryptocurrency by market capitalization is showing signs of optimism from investors. However, the ability to surpass the 5,000 USD threshold will depend on maintaining key technical levels and sentiment.

Ethereum holders may not sell

Currently, about 97% of Ethereum addresses are profitable. Historically, when this ratio exceeds 95%, it often signals a potential market peak, when investors begin to take profits. In previous cycles, this level has typically appeared before short-term reversals when investors shift to protecting profits.

However, the resilience of Ethereum in the context of these signals indicates a shift in investor behavior. Although it has temporarily entered the "profit saturation zone," ETH still maintains an upward trend, supported by strong bullish sentiment across the market. This suggests that, although many investors are in profit, selling pressure may be limited, allowing this cryptocurrency to sustain its upward momentum in the coming period.

Ethereum's supply is currently profitable | Source: GlassnodeThe moving average convergence divergence indicator (MACD) has recently recorded a bullish crossover, signaling a stronger bullish momentum. This shift marks a transition phase from accumulation to potential breakout, often associated with prolonged price increases.

In addition, the histogram chart of this indicator continues to expand positively, reinforcing the view that a bullish momentum is gradually forming. If this trend continues, Ethereum may attract new capital flows from traders and institutional investors, further boosting its upward momentum. Maintaining movement above 4,500 USD will be a key factor to ensure confidence across the market.

MACD of Ethereum | Source: TradingView## ETH price needs a bounce

Currently, the price of Ethereum is at 4,523 USD, challenging the 4,500 USD level as a new support. This level needs to be maintained for ETH to advance towards the next important resistance at 4,775 USD. A successful breakout here could open up opportunities for the next rise.

With a consolidating technical structure and bullish indicators, Ethereum has the potential to surpass the 4,775 USD level to retest the all-time high of 4,956 USD. Maintaining this upward momentum could open the door for a push beyond 5,000 USD, marking a historical milestone for the "king" of altcoins.

ETH price analysis | Source: TradingViewHowever, if investors start taking profits after the recent rise, the price of Ethereum may face difficulties. A drop below 4,500 USD could trigger a correction to the 4,222 USD level, invalidating the short-term bullish outlook.

Mr. Giao