Ethereum's recent price movement is being driven by a technical recovery and renewed investor interest, as it rebounds from a dip below $3,000. The cryptocurrency has shown a V-shaped recovery, gaining momentum that could push it beyond $3,250, reflecting increasing market confidence. This optimism is further supported by a recent inflow into Ethereum ETFs, ending a four-day streak of outflows. Additionally, the broader crypto market dynamics, influenced by a decline in the core Consumer Price Index (CPI), have positively impacted Ethereum's price action. This macroeconomic development has likely contributed to the positive sentiment around Ethereum, as investors anticipate a more favorable environment for risk assets.
The Volatility Shares Trust 2x Ether ETF (ETHU) saw a notable increase, rising 4.43% to $7.31 at 9:20 AM on Wednesday, January 15.