Ethereum continues its bullish trend, approaching the important psychological level of $5,000 after a recent surge.
Price Dynamics of Ethereum
On August 13, 2025, Ethereum showed significant growth, reaching near $4,700, currently trading above $4,730, marking a 28% weekly gain. This increase was facilitated by fresh capital inflows into Ethereum spot ETFs recording over $1 billion in inflows recently.
Market Dynamics and Trader Sentiment
Open interest in Ethereum futures has surged to over $35 billion, reflecting intense speculative activity. Liquidation maps indicate that a price drop below $4,143 could trigger $6.42 billion in long position liquidations, emphasizing the volatility tied to leveraged trades. The current long/short ratio below 1 suggests a modest dominance of bearish sentiment among traders.
Prospects for Further Growth of Ethereum
Despite bearish sentiment, analysts and traders remain optimistic that Ethereum will surpass the $5,000 mark in the near term. A sustained break above $4,800 could accelerate price discovery and bring new all-time highs, possibly around $5,000 or higher.
The rise in Ethereum's price and positive market sentiment underline institutional investors' interest, which may lead to further growth and break through historic levels.