Token Sees Momentum Spike as Buyers Return

Altcoin Analysis

Ethereum has climbed back above $3,000, snapping a weeks-long downtrend as buyers return aggressively to the market.

Key Titles:

ETH bounced back above $3,000 on a sharp rise in taker buy volume.
BlackRock added over 44,000 ETH, signaling renewed institutional interest.
The Fusaka upgrade boosts Ethereum’s scalability and cuts L2 costs.

A combination of rising trading momentum, institutional inflows, and a major network upgrade helped shift sentiment, giving ETH its strongest rebound since mid-November.

Market indicators show that traders are beginning to reposition after Ethereum’s recent correction. The daily chart now reflects a modest recovery in momentum, with clearer signs that selling exhaustion may finally be easing.

Ethereum Metrics Signal Momentum Turning

Fresh data highlights a noticeable pickup in demand across exchanges. CryptoQuant’s taker buy volume readings spiked sharply, hitting 148.7 million according to analysis shared by Trireme Trading. Such a surge usually points to more decisive market participation, with buyers lifting the ask instead of waiting for dips.

Technical indicators support this shift in behavior. The Relative Strength Index has rebounded from oversold territory, while the MACD histogram has begun to flatten after a prolonged decline. For the first time in several weeks, Ethereum’s short-term price structure is showing early signs of stabilization.

Institutional Activity Ramps Up

Large-scale transactions also returned to the spotlight. Arkham’s real-time tracking flagged a significant batch of inflows tied to BlackRock, which moved more than 44,000 ETH into Coinbase—over $134 million worth at the time of transfer.

The firm’s total ETH holdings have now risen to 3.68 million, reinforcing the growing involvement of traditional financial institutions in Ethereum’s spot market.

This follows several weeks of muted institutional activity, making the renewed movement particularly notable. Traders often view such transfers as a sign of strategic accumulation rather than short-term speculation.

Short-Term Trend Lines Start to Shift

Research from 10x Research shows Ethereum attempting to reclaim its short-term trend levels. While ETH remains below its 30-day moving average—a sign the broader trend is still weak—it has pushed back above the 7-day MA. Historically, that shift marks the first stage of a trend rotation when combined with rising buy-side volume.

The firm also noted that ETH’s relative performance versus Bitcoin appears to be stabilizing after a steep decline throughout November.

Fusaka Upgrade Expands Network Capacity

Ethereum’s fundamentals strengthened further with the activation of the Fusaka upgrade on December 3, according to a detailed report from 10x Research. This is the network’s second major hard fork of 2025.

Fusaka introduces PeerDAS, an enhancement designed to boost data throughput for Layer-2 networks by up to eight times. The change is expected to reduce blob fees by 30–80 percent, easing the cost burden for applications such as on-chain games and heavy DeFi systems.

10x Research also highlighted the upgrade’s improvements to node efficiency and Ethereum’s long-term scalability. By lowering hardware requirements and preparing the L2 ecosystem for future 100,000-TPS capabilities, Fusaka strengthens Ethereum’s position as the leading settlement layer for decentralized activity.

Looking Ahead

While Ethereum has not yet broken its medium-term resistance levels, the combination of rising buy volume, fresh institutional inflows, and a major network upgrade has shifted market momentum. If buyers maintain pressure, ETH could continue building on its current recovery and challenge the resistance zone that capped its performance throughout Q4.

Author

Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.