Ethereum’s native token, Ether (ETH), just posted an eye-popping 20% surge in the wake of the long-awaited Pectra upgrade, sparking buzz among crypto traders who now wonder: has ETH finally turned a corner?
At the time of writing, ETH is trading at $2,230 — a near 20% gain in just 24 hours, according to CoinMarketCap. This explosive rally follows the Pectra hard fork that went live on May 7, bringing a suite of upgrades including smarter wallet capabilities, higher staking limits, and foundational scalability improvements.
The price action wasn’t subtle. Pseudonymous trader Daan Crypto Trades called it a “pretty insane candle,” while Ether Open Interest (OI) spiked 21% during the same period, signaling a rush of new leveraged positions flooding into the market.
Pectra Ignites Bullish Fire — But What’s Fueling the Flame?
Crypto economist Alex Krüger weighed in, attributing the sharp move primarily to fresh long positions. But it wasn’t all smooth sailing. According to CoinGlass, a dip back to the $2,000 zone could threaten over $2 billion in long liquidations — a reminder that the momentum is still fragile. In fact, around $328 million in ETH short positions were liquidated in the last 24 hours, underscoring just how caught-off-guard many traders were.
Bob Loukas, another seasoned trader, chimed in with a hopeful sentiment: “ETH holders thinking this might finally be the turning point.”
It’s been a rough ride for Ether this year. After starting 2025 on shaky footing, ETH bottomed out at $1,472 in early April — marking a 56% drop from its January high. But the tide may be turning. Ether is now up 52% over the past month alone.
Macro Moves and Market Mood Shifts
Interestingly, ETH’s rally comes as Bitcoin (BTC) reclaims the spotlight, climbing back above $100,000 — a level it hadn’t seen in over three months. BTC gained nearly 6% over the past week, potentially lifting broader market sentiment along with it.
But analysts say it’s not just about Pectra or even Bitcoin. Nick Forster, founder of Derive, an onchain options protocol, told Cointelegraph that a mix of macroeconomic and industry-specific developments also played a role. These include a U.S.-U.K. trade deal slashing tariffs on cars and steel and Coinbase’s high-profile $2.9 billion acquisition of crypto options exchange Deribit.
Despite all the buzz, spot Ether ETFs still haven’t caught up. For the third consecutive day, May 8 saw net outflows from Ether ETFs, with $16.1 million pulled out according to data from Farside Investors.
Can ETH Push Toward $3K?
Historically, Ethereum tends to shine in Q2, averaging a 62.2% return since 2013. If that trend holds, ETH could be eyeing the $2,950 mark by the end of June — a level that now feels within reach.
Broader sentiment is also on the upswing. The overall crypto market jumped nearly 5% in the past 24 hours, while the Crypto Fear & Greed Index nudged deeper into “Greed” territory, now sitting at 73.
With Pectra live, new institutional narratives unfolding, and traders piling into longs, Ether may finally be shaking off its early-year slump. Whether this is the breakout ETH bulls have been waiting for remains to be seen — but for now, the momentum is unmistakably back.
