Ethereum Eyes $2,500 Recovery as Final Pectra Test Succeeds, Fundamentals Strengthen
**Ethereum Pectra Upgrade Completes Final Test on Hoodi Testnet, ETH Eyes $2,500**
**Ethereum Developers Successfully Conclude Pectra Upgrade Testing**
Ethereum developers have **successfully completed** the final **dress rehearsal for the Pectra upgrade** on the Hoodi testnet, marking a key milestone after previous challenges on the Holesky and Sepolia test networks.
As **Ethereum’s most significant upgrade in over a year**, Pectra is designed to enhance **user experience and developer functionality**. It introduces **smart contract capabilities for wallets**, allowing users to **pay gas fees in various cryptocurrencies**, expanding Ethereum’s flexibility.
If the final testing phase remains stable, **Pectra could go live on the Ethereum mainnet within the next 30 days**, pending confirmation from developers.
#### **Grayscale Ethereum ETF Adjusts Index as Regulatory Landscape Evolves**
In parallel developments, **Grayscale’s Ethereum ETF** has adjusted its **index constituents** due to **liquidity concerns**. The ETF has added **Bullish** as a **trading platform** while **removing LMAX Digital**, reflecting ongoing shifts in Ethereum’s trading environment.
Additionally, the **SEC is reviewing potential options trading for spot Ethereum ETFs**, including Grayscale’s. If approved, this could **open new investment avenues** for ETH and significantly impact market liquidity.
#### **ETH/USD Faces Resistance at $2,111, But Upside Potential Remains**
From a technical standpoint, **Ethereum’s price is encountering strong resistance** near **$2,111**, a key breakdown level. If ETH **fails to break this barrier**, bearish sentiment may persist.
However, if Ethereum **rallies past $2,111**, it could trigger a move toward:
- **$2,325** (50-day Simple Moving Average)
- **$2,550** (key psychological resistance)
Such a breakout would confirm **$1,504 as a temporary bottom**, setting the stage for further gains.
#### **Three Key Factors Supporting Ethereum’s Path to $2,500**
Several fundamental factors support Ethereum’s **potential rise to $2,500**:
1. **Pectra Upgrade:** Expected to **double block capacity**, introduce **smart accounts**, and improve **staking efficiency**, enhancing Ethereum’s scalability.
2. **Ethereum’s DeFi Strength:** Ethereum’s **TVL (Total Value Locked)** remains dominant at **$52.5 billion**, far surpassing competitors like **Solana**.
3. **Declining Exchange Supply:** ETH holdings on centralized exchanges are **near a five-year low**, signaling **strong long-term investor confidence**.
#### **Analysts Predict Ethereum Breakout Beyond $2,100**
Crypto analyst **Crypto Patel** has identified a **bullish setup** pointing to an **ETH breakout beyond $2,100**, with an **initial target of $2,128**. The projection is based on **strong buying momentum** following a rebound from a key **mitigation block**.
Additionally, market expert **Time Freedom ROB** has drawn parallels between Ethereum’s **current price action and its 2018-2020 accumulation phase**, which preceded a **massive bull run**. According to this analysis, the recent **drop below $2,300** and test of lower trendlines may have been the **final dip before a major rally**.
### **Conclusion: Will ETH Break Resistance and Resume Its Uptrend?**
Ethereum is at a crucial juncture, with **technical resistance at $2,111** and **fundamental tailwinds supporting a move toward $2,500**. The **Pectra upgrade, surging DeFi growth, and declining exchange supply** all reinforce **bullish expectations**.
If ETH successfully breaks above **$2,200–$2,400**, it could confirm a **strong upward trend**, potentially setting the stage for new highs in the coming months.
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