Ethereum (ETH) continues to show strong growth, increasing by 5.6% over the past 24 hours and reaching $2666. Amid rising trading volumes and positive market sentiment, analysts point to a potential breakout to $3200.
CME Gaps as Bullish Magnet for Ethereum Price
CME (Chicago Mercantile Exchange) futures gaps form when the price of ETH opens significantly higher after a weekend close, leaving a 'void' in the chart. Historically, these gaps are 'filled' during future price movements. Crypto analyst Titan of Crypto noted on X, 'These gaps tend to get filled,' suggesting the current rally could extend to $3200 to close the existing gaps.
Breaking Key Resistance Zones
Renowned analyst Michaël van de Poppe added further bullish weight, stating on May 22, 'Ethereum recently broke above the $2400 resistance. I assume ETH will follow Bitcoin and move to $3000+.' However, some traders express a cautionary tone. CryptosNewss reports that Ethereum might be 'overheated,' as profit-taking spikes around $2600.
Strong Fundamentals Support the Bull Case
Despite short-term volatility, the long-term outlook for ETH remains bullish. Data from Santiment reveals that less than 5% of Ethereum’s total supply is now held on centralized exchanges—the lowest in over a decade. This reflects strong HODLing behavior and reduced sell-side pressure. In addition, institutional interest in Ethereum is back. Last week alone, ETH-linked investment products recorded $205 million in inflows, a trend likely fueled by renewed confidence following the Pectra upgrade.
With Ethereum still 29% below its all-time high, the path to $3200 remains technically and fundamentally supported, provided market sentiment and institutional inflows continue.
