$ETH ETH’s reason behind this uptrend still mainly comes down to seeing capital returning.

First, institutional capital is starting to re-enter. Recently, Ethereum spot ETFs have recorded inflows, indicating that large funds aren’t fleeing ETH—they’re gradually accumulating at lower levels. Once institutional buy orders continue, the amount of circulating supply will gradually decrease, providing support for the price.

Second, pressure on the ETH supply side is easing. A large amount of ETH has been staked and locked, reducing the actual tradable supply in the market. When demand starts to rise, there are fewer sell orders, and the price is more easily pushed upward by capital.

Third, capital needs to rotate. BTC has already run up earlier, and market funds often look for “catch-up” opportunities. As the second-largest asset, ETH has relatively strong liquidity and broader market recognition. Once fund rotation kicks off, upside flexibility will increase significantly.

Fourth, large funds prefer to set up positions in advance. Right now, market sentiment hasn’t completely turned into FOMO—this instead gives capital the opportunity to accumulate at low levels. A true big move often starts gradually while retail traders are still doubting.

In summary:

ETH isn’t short of capital right now—it’s waiting for capital consensus to form. Once ETF inflows continue, and with market rotation starting, ETH is likely to see a catch-up rally. For the short term, watch for a break above key resistance levels; after a breakout, the room for further upside will open up more.