Can Ethereum Rally to 4,885 Dollars as Exchange Supply Falls to a Record Low?
Ethereum is once again capturing trader attention as a rare combination of tightening onchain supply and strengthening technical signals sets the stage for a potential major upside move. Despite the broader market still reacting to Bitcoin’s sharp swings and macro uncertainty, ETH is quietly building one of its strongest structural setups in months.
Veteran trader Michaël van de Poppe argues that Ethereum has formed an ideal higher-time-frame support base for a broader trend reversal. He notes that the ETH/BTC pair is testing a multi-month support zone between 0.031 and 0.034 satoshi, a region he considers prime for accumulation. If this level holds, the pair could target 0.055, implying a possible 60 percent outperformance against Bitcoin.
Onchain data strengthens the bullish picture. According to Milk Road, only 8.84 percent of ETH’s circulating supply now sits on centralized exchanges, the lowest level ever recorded. Massive amounts of ETH continue flowing into staking contracts, restaking protocols, layer-2 activity, collateral loops, and long-term storage. This structural supply squeeze reduces sell-side liquidity and historically precedes major upside expansions.
Meanwhile, trader Crypto Caesar highlights key price zones. Ethereum is defending support around 2,616 dollars, while major weekly resistance lies between 4,789 and 4,885 dollars. A clean reclaim of the mid-3,000s could open the path toward this upper target.
Short-term setups also look constructive. Trader Tim points to algorithmic buying interest inside a fair-value gap between 2,943 and 3,064 dollars, reinforcing ETH’s relative strength even as Bitcoin remains weak.
With supply tightening and technical patterns aligning, Ethereum may be preparing for a sustained move, provided broader market risk appetite returns.
