ETH Price Jumps 12% Overnight—Why Ethereum Could Be Heading to $4K Sooner Than You Think

Ethereum’s rally picked up fresh momentum on 08 August 2025, lifting the ETH price to an intraday high of $4,010—its first trip above the psychologically important $4 k mark since December 2024—before slipping to about $3,921 at press time. Why ETH is climbing today • Spot market squeeze: Derivatives desks flagged a sharp 18 % jump in open interest on CME and Binance futures over the past 48 hours, hinting at fresh leveraged longs entering the market. Funding flipped positive (+0.028 %/8 h), confirming bullish bias. • Whale accumulation: On-chain trackers show addresses holding 10 k-100 k ETH added ~212 k coins since 01 August, the largest 7-day increase since March. • Macro tailwinds: Softer U.S. CPI expectations and renewed rate-cut bets pushed the DXY dollar index to a three-week low, boosting risk assets. • Tech catalysts: Developers finalized code for the “Pectra” upgrade, slated for mainnet in Q4 and expected to reduce L2 proof costs by up to 60 %, stoking long-term demand for block space. Key levels to watch • Immediate resistance: $4,080—the April swing high and the 0.618 Fib retracement of the 2024–2025 decline. • Secondary target: $4,300—the average year-end price projected by major sell-side desks. • Support zone: $3,700–$3,620 (20-day EMA and prior breakout shelf); a break below could open a retest of $3,400. Market sentiment & indicators • RSI (daily) sits at 68, edging toward overbought but not yet flashing a reversal signal. • ETH/BTC ratio has climbed to 0.063, its strongest print since February, underscoring rotational flows out of Bitcoin into smart-contract exposure. • Options skew has flipped positive (calls pricier than puts) across all expiries out to September, showing traders paying up for upside insurance. Short-term outlook If bulls maintain closes above $3,900, technicians anticipate a push toward the $4,200–$4,300 supply zone within days. A daily close back under $3,700 would neutralize momentum and keep ETH range-bound until U.S. CPI data on 13 August provides the next macro cue. Long-term thesis Staking yields near 4 %, a net-deflationary issuance rate (-0.15 % annualized burn), and the upcoming Pectra upgrade position Ethereum as a “yield-bearing tech play” in a low-rate environment. Analysts at multiple crypto research firms still peg $5 k-$5.3 k as a realistic Q4 target should Pectra ship on schedule and ETF chatter in the U.S. regain steam. Bottom line The Ethereum price today is flirting with a major breakout zone; sustained closes above $4 k could validate a new medium-term uptrend, while failure to hold $3,700 risks a swift shakeout. Traders should watch on-chain whale flows and funding rates for early signals of either continuation or a cooldown.