Why is Ethereum (ETH) price up today?

Ether (ETH) jumped 7% in 24 hours to around $2,350 on March 3, briefly topping $2,550 before profit-taking. Despite the rebound, it remains up 13% from its $2,075 low last week.

Multiple catalysts are helping Ether rebound from its recent lows, namely:

• Trump’s latest update on US’s Crypto Strategic Reserve.

• Increasing ETH supply among whales.

• Improving technicals, including a strong support confluence.

Trump to include ETH in Crypto Strategic Reserve

Ether’s latest price surge is largely attributed to Trump’s announcement of a US Crypto Strategic Reserve.

What to know:

• Trump directed the President’s Working Group on Digital Assets to include XRP (XRP), Solana (SOL), and Cardano (ADA) in a crypto strategic reserve.

• Trump added that Bitcoin (BTC) and Ether would be at the “heart of the reserve.”

• Being part of a national reserve strategy may suggest regulatory clarity and institutional acceptance of ETH.

• Analysts view this as a bullish signal for Ethereum’s long-term role in the financial system,

• Popular crypto analyst Poseidon, for example, anticipates a rally to $4,000 by April.

Ethereum whales are waking up

Ether’s gains in the past 24 hours further appear after a consistent increase in the ETH supply held by whales.

Key takeaways:

• Large ETH holders (1K-10K ETH) have been stepping up their accumulation of ETH since January, data from Glassnode shows.

Related: Ethereum’s Pectra upgrade could lay groundwork for next market rally

ETH price bounces from multimonth support

Ether’s gains today appear after testing a multimonth accumulation zone (the red area) that has historically led to short-term price rebounds.

Key points:

• Ether bears have failed to drive prices below the $2,100-2,500 range since December 2023.

• The range includes a key support level in the form of the 200-week exponential moving average (200-week EMA; the blue wave), currently at around $2,300.

• As of March 3, Ether is rebounding after testing the 200-week EMA as support, eyeing an extended rebound toward the 50-week EMA at around $2,910.

• A breakout above the 50-week EMA could send the price toward the upper boundary of its prevailing rectangle pattern at around $4,000.

• The H&S pattern resolves when the price breaks below its neckline support and falls by as much as the pattern’s maximum height.

• If the current recovery fails, this technical rule brings $1,360 as Ethereum’s primary downside target.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.