Ethereum’s market dynamics are showing remarkable signs of recovery, with the percentage of profitable addresses nearly doubling since April’s lows. As Bitcoin’s recent all-time high signals a potential altcoin season, ETH’s price action at $2,500 suggests a critical turning point for the second-largest cryptocurrency.
Key Highlights of Ethereum’s Recovery
- ETH addresses in profit increased from 32% to nearly 60% since April
- Price holding steady above $2,500 despite previous 60% correction
- Testing critical resistance at $2,700 (200-day SMA)
- Volume indicators showing renewed buyer interest
On-Chain Metrics Signal Strong Recovery
According to data from Sentora (formerly IntoTheBlock), Ethereum has demonstrated remarkable resilience following its December 2024 correction. The percentage of addresses in profit has surged from a concerning low of 32% in April 2025 to nearly 60% currently, marking the strongest recovery since the 2017 bull cycle.
Technical Analysis: Critical Price Levels
ETH is currently testing a crucial resistance level at $2,700, coinciding with the 200-day simple moving average. The asset has shown strong support at $2,444 (200-day EMA), creating a solid foundation for potential upward movement. A successful break above $2,700 could trigger a rally toward the $3,000 psychological level.
Market Implications and Future Outlook
With Bitcoin reaching new all-time highs, Ethereum’s current position suggests it could lead the next phase of altcoin market growth. The combination of improving on-chain metrics and technical indicators points to growing momentum that could catalyze a broader market rally.
FAQ
What is causing the increase in profitable Ethereum addresses?
The surge in profitable addresses is primarily driven by ETH’s price recovery from April lows, combined with increased institutional interest and improving market sentiment.
Will Ethereum break above the $2,700 resistance?
Technical indicators and market momentum suggest a breakout is possible, but bulls must maintain support above $2,600 to confirm the upward trend.
How does this recovery compare to previous cycles?
The current recovery pattern shows similarities to the 2017 bull cycle, particularly in terms of address profitability and volatility metrics.
