Ethereum price retested the psychological $4,000 barrier on Friday, hitting a year-to-date high of $4,012. The coin’s trading volume was up by 25% at the time of writing, signaling a strong appetite among investors and raising the prospect of a fresh bullish momentum. ETH price has risen by 51% in the last month, dwarfing market leader Bitcoin’s 6% uptick in that period.

The coin’s strong performance has been accompanied by a strong performance in the ETF market. The nine US-traded Ethereum spot ETFs registered $222.30 million worth of inflows on Thursday, its strongest performance since July 25th. The strong performance by ETH price comes on the heels of US President Donald Trump’s ascent of a bill legalising the inclusion of cryptocurrencies, including ETH in 401 (K) retirement plans.

Institutional affinity towards Ethereum remains strong, with BlackRock’s iShares Ethereum Trust realising $103.5 million in net inflows. Meanwhile, Ethereum chain’s DeFi TVL has risen by nearly 12% in the last week to $87.43 billion. In addition, its open interest contracts rose by 6.6% in the last 24 hours, with the value hitting $26.6 billion. That affirms the strong investor confidence in the coin and an extension of the trend will strengthen the upside momentum.

Ethereum Price Prediction

Ethereum price momentum signals that the coin is likely upward-bound, and the bulls will be in control if action stays above $3,920. ETHUSD will likely meet the first barrier at $4,000. However, an extended control by the buyers will break above that level and could potentially result in further gains to test $4,050.

On the other hand, action below $3,920 will shift the momentum to the upside. With that, the crypto coil could go lower and find the first support at $3,900. A break below that level will invalidate the upside narrative. In addition, it could open the way to potentially test $3,890 in extension.

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