Ethereum Rally Gains Strength as Market Focus Shifts

Ethereum is regaining market attention as investors turn their eyes away from Bitcoin after weeks of record highs. At the time of writing, the global crypto market cap has climbed to $3.88 trillion, up 1.81% in the last 24 hours. Ethereum is trading at $3,743.91 with a 2.42% daily gain, while Bitcoin’s market dominance has slipped slightly to 60.53%.

Market Attention Moves Toward Ethereum

According to a Santiment report, analysts Brian and Maksim highlighted a shift in market focus. While Bitcoin has dominated the headlines in recent weeks, Ethereum has started drawing increasing interest. They explained that this shift is not just a matter of market sentiment but also backed by strong on-chain data and growing social activity.

Brian noted that traders expressed doubt about Ethereum last week, with many selling too early. This lack of overconfidence allowed ETH to keep climbing steadily. Now, optimism is spreading, with many retail traders calling for a breakout above $4,000. However, Brian warned that this rising excitement could be a contrarian signal, as markets often move in the opposite direction of the majority’s expectations.

Maksim added that big inflows into Bitcoin ETFs, while bullish at first glance, have historically signaled short-term tops. These spikes often lead to brief market cool-downs within a few days. He also pointed out that U.S. Treasury bond yields usually lead the Federal Reserve’s interest rate decisions. Therefore, bond market trends may continue to influence the direction of the crypto market.

Ethereum’s Golden Cross Sparks Optimism

Besides Santiment’s analysis, crypto analyst Merlijn The Trader shared a bullish development for Ethereum. He confirmed that Ethereum has printed a “Golden Cross” against Bitcoin, a chart pattern that traders often view as a major uptrend signal. This happens when the 50-day moving average moves above the 200-day moving average, showing that momentum is shifting in favor of Ethereum.

Merlijn explained that this Golden Cross begins a strong altcoin cycle. He noted that Ethereum’s price against Bitcoin has already jumped by 70% since May. Recent price action also shows strong buying pressure, as ETH has held its gains even after a sharp rally.

Key Levels to Watch

Maksim highlighted two critical price levels that could define the market’s next move: $125,000 for Bitcoin and $4,050 for Ethereum. If ETH crosses $4,050, it could trigger new buying interest from institutions and retail traders. While optimism around Ethereum is building, analysts continue to watch for signs of peak greed. Meme coin activity remains low, suggesting the market may not yet be in the overheated stage that typically signals a top.