Why Ethereum Price Could Still Rally to $5,000 in 2025
Ether (ETH) has traded within a $400 range for nearly eight weeks after a significant rally to $2,800. Positive inflows into Ethereum-based investment products indicate strong institutional demand, with net inflows of $226.4 million last week. U.S. spot Ethereum ETFs, particularly BlackRock's iShares Ethereum Trust, saw inflows of $148.5 million on July 3 and approximately $510 million over two weeks. ETH supply on exchanges has dropped to eight-year lows at 13.5%, suggesting a potential supply shock that could drive prices higher. The Spent Output Profit Ratio (SOPR) is at 1.01, indicating market confidence and reluctance to sell at a loss. Ether's market value realized value (MVRV) bands suggest potential price expansion towards $5,000, with analysts citing network upgrades and increasing institutional interest as factors supporting this outlook. A breakout above the $2,600-$2,800 range is crucial for further price increases.
