3 days big pump 40% is Ethereum going to da moon?

The number of people talking about Ethereum in the market has suddenly increased. It is obvious on social platforms that the slogan of Ethereum’s rise and the fluctuating ETH price charts have reappeared. Not long ago, this once-leading altcoin was largely met with indifferent gazes from many. Ultimately, in this bull run, ETH’s performance has indeed been unsatisfactory. Some interested parties even compared ETH’s price situation during BTC’s first to seventh breakthroughs of $100,000, resulting in ETH continuously declining, even being just a step away from $1300. The ETH/BTC pair has also set new five-year lows consecutively. When will the alt season come, and will it come at all, has become an unsolvable puzzle in the market.

Compared to previous bull runs, this round of bull run is a Bitcoin bull run, but not a crypto market bull run. Bitcoin has been rising steadily, rewarding those with diamond hands, but while some celebrate, others are discontent; Ethereum holders are lamenting. On December 17 of last year, Bitcoin first broke through the $100,000 mark, and ETH reached the peak of this round at $4,100. Since then, Bitcoin has repeatedly attempted to break $100,000, but corresponding to this is ETH’s decline, which fell from $4,100 back to $1,900 after 7 attempts. Additionally, during the tariff farce on Liberation Day on April 6, ETH was violently smashed, briefly touching a low of $1,385.

In terms of content, the important upgrades include the execution layer hard fork and the Electra consensus layer upgrade, covering 11 Ethereum Improvement Proposals (EIPs), such as EIP-3074 and EIP-7702 which introduce account abstraction, EIP-7251 which increases the maximum staking amount for validators from 32 Ether to 2048 Ether, and EIP-7691 which adjusts the number and pricing mechanism of Blobs, among others. Specifically, Pectra has made significant updates to the core user experience by implementing smart accounts and delegation features; it has upgraded the staking functionality to make it easier for institutional and individual investors to secure network safety; and it has greatly improved integration with Layer 2 networks, doubling the network efficiency. Overall, this upgrade focuses on practicality and security, reflecting Ethereum’s transition from a computational infrastructure property to a financial infrastructure property, which will have a profound impact on the future development of Ethereum.

As a result, global financial markets began to rebound, with the Dow Jones Industrial Average rising 254.48 points from the previous trading day, closing at 41368.45 points, an increase of 0.62%; the Nasdaq Composite rose 189.98 points, closing at 17928.14 points, an increase of 1.07%. The cryptocurrency market reacted quickly, showing a follow-up effect, with Bitcoin breaking out of the consolidation zone and returning to $100,000, ETH surged over 20% in a single day, and XRP, BNB, and Solana also had good gains.

Against this background, some industry insiders have suggested that Ethereum is showing off its muscles after a “change of hands”, making later participants pay for the new narrative. For example, user @Murphychen888 analyzed it using the Herfindahl Index, pointing out that after December 2024, the concentration of ETH chips is rapidly increasing. However, others believe that compared to the 3.45 million ETH held by institutions in ETFs, the total amount of POS staking exceeds 31 million, accounting for 28.3% of the total ETH supply. Recklessly changing hands to drive up prices could lead to over a million ETH holders exiting the market, which feels quite counterproductive.

It is worth noting that, although the upward momentum is impressive, even reaching levels that leave the market baffled, it is still far from the level of FOMO when considering the ecosystem itself. In terms of price, ETH is only $2500, and the price performance in the cycle can only be described as mediocre. The ETH/BTC exchange rate currently stands at 0.02423, which is undoubtedly a historical low. Even from an ecological perspective, apart from strong blue chips, the rise of other coins is very limited, with the vast majority of altcoins still 70%-80% away from their previous highs, and new projects are hardly attracting any attention. It can be seen that perhaps due to the previous heavy losses, the market seems to be in a state of waiting and hesitation.

Overall, although it has not yet reached its peak period, with the macro market gradually improving, combined with the current 9.26% market share of ETH, there is indeed room for the price of ETH to be relatively undervalued. However, whether the short-term surge can ignite the next market rally is still up for debate, especially in the current unpredictable market. There is a fear of missing out, as well as concerns about being trapped, making operations increasingly difficult. Nevertheless, Ethereum’s strong rise this time has finally brought the market’s attention back to this long-silent altcoin leader, which may be even more important for Ethereum now.