ETH Rally Continues: Can Liquidity Easing Sustain Price Above $2,300?
Ethereum (ETH) has broken through $2,300 in its five-day rally streak, reaching an all-time high of $2,362 on August 21. This surge has accumulated a gain of over 30% since Monday's opening price of around $1,800.
The rapid upward move is driven by liquidity injections from the U.S. Treasury Department and improvements in the regulatory environment, sparking massive capital inflows into U.S. spot Ethereum ETFs. These net inflows have reached a record high of nearly $220 million on August 21, with over $500 million total since August 17.
The continuation of this rally is supported by sustained inflows into U.S. spot ETFs and institutional capital, reflecting the U.S. capital market's stance toward ETH. However, experts warn that capital inflows are often spurred by positive catalysts, with liquidity easing being a key factor in boosting high-risk assets such as crypto.
Ethereum price is approaching the high points of its March and May rebounds this year, both of which failed in the $2,300-$2,400 range. If ETH can consolidate above $2,300, it would represent a healthy correction with potential to push further toward $2,800.