Ethereum Briefly Hits $4,500: Will ETH Extend Its Two-Week High Rally?

The world’s second-largest cryptocurrency by market cap, Ethereum, briefly hit $4,500, marking its highest level in two weeks. The move follows a broader market rebound led by Bitcoin, alongside renewed optimism around Ethereum’s growing role in DeFi, staking, and institutional adoption.

ETH Breaks Through Resistance

Ethereum’s surge to $4,500 came as buyers pushed through key resistance levels after weeks of sideways trading. Analysts point to increased demand from spot ETH ETFs, higher staking participation, and on-chain activity as catalysts for the move.

According to CoinMarketCap, Ethereum’s market capitalization climbed back above $540 billion, narrowing the gap with Bitcoin during this latest push.

Institutional Demand Keeps Growing

The latest rally highlights how institutional investors are increasingly embracing Ethereum. Data shows that ETH-based ETFs now hold more than 6.4 million ETH, reflecting deep interest from traditional finance players seeking exposure to smart contract platforms.

Recent partnerships with major banks and fintech firms also bolster Ethereum’s case as the backbone of tokenized finance and DeFi adoption.

Short-Term Resistance Ahead

Despite the breakout, analysts warn that Ethereum faces stiff resistance between $4,550 and $4,700. A failure to hold above these levels could trigger a short-term pullback toward $4,200.

However, if ETH clears the ceiling with strong volume, traders are eyeing a run toward $5,000, which would mark a new psychological milestone for the asset.

On-Chain Metrics Remain Bullish

Ethereum’s fundamentals remain solid:

• Staking activity continues to climb, with over 27 million ETH locked.
• Gas fees remain relatively stable, signaling healthy network demand.
• DeFi protocols built on Ethereum, including Aave and Lido, are reporting rising TVL (total value locked).

These metrics suggest Ethereum’s rally could extend beyond short-term trading momentum.

The Bigger Picture

Ethereum’s brief push to $4,500 underscores its resilience in a volatile market. With strong ETF inflows, healthy staking metrics, and institutional adoption growing, the question now is whether ETH can finally break through the $5,000 barrier.

For traders and long-term holders alike, the next few weeks could prove decisive for Ethereum’s trajectory heading into year-end.