Ethereum Bull Flag Points to $3,300 Rally

Ethereum is approaching $2,500 as it forms a potential bull flag that could lead to a rally to $3,300. This comes after buyers defended the ~$2,400 level and Ethereum pressed toward ~$2,550. A decisive break above this level would target ~$3,300, supported by momentum indicators such as the RSI remaining above 55.

The recent Federal Reserve interest-rate decision was seen as largely priced in, with Ethereum rebounding from a low of $2,370 on Wednesday to move toward $2,470. This counterintuitive recovery across the crypto market has some analysts suggesting that bearish positioning may have become excessive once the anticipated hike was confirmed.

However, institutional demand through U.S. spot Ethereum exchange-traded funds (ETFs) has weakened, with investors withdrawing a combined $405.7 million from these products over the last three days. This decline suggests some investors continue to reduce their exposure to Ethereum despite the market recovering from its latest dip.