Ethereum has shown signs of renewed momentum, rising 6.7% over the past week and briefly recovering the $3,400 level on Wednesday, January 14. As of early January 17 (around 2:30 a.m. EST), the price has retreated slightly to $3,291, with 24-hour trading volume down 21% to $20.5 billion, indicating a quieter day of activity amid consolidation.
This recent rebound comes against the backdrop of continued institutional interest in these assets, which could fuel further gains in the near term.
Ethereum is seeing significant institutional ETF inflows
Ethereum continues to attract strong interest from institutional investors, with spot Ethereum exchange-traded funds (ETFs) seeing nearly $500 million in inflows over the past week, according to Coin glass data.
Wednesday alone brought in $175.1 million, marking the largest single-day ETF inflow of 2026 and the highest since December 2025.
As weekly and daily trading volumes take a dive, some companies like Bitmine, led by Wall Street strategist Tom Lee, are still adding ETH to their holdings.
Bitmine’s most recent purchase was Ethereum worth $65 million, highlighting the growing institutional trust in the cryptocurrency.
JUST IN: 🔥 🇺🇸 Tom Lee’s Bitmine Just Raised $65,000,000 in $ETH.
Bullish for Ethereum. pic.twitter.com/zD3bMf41K7
— Crypto Rover (@cryptorover) January 17, 2026
This move from Tom Lee’s crypto infrastructure company underlines Ethereum’s growing appeal beyond its smart contract capabilities as it gains traction in DeFi, NFTs and tokenized assets.
Furthermore, the acquisition reflects a broader trend of institutional interest in the king of altcoins, which is seen as a versatile asset with potential for scalability improvements and future demand from a potential ETH ETF.
Such institutional activities could strengthen Ethereum’s price stability, especially in volatile market conditions.
Will Ethereum Rise Again From Here?
Ethereum price is currently consolidating above the USD 3,070 support zone, which is closely aligned with the 50-day Simple Moving Average (SMA). The recent recovery from the demand area between $2,750 and $2,850 indicates that buyers are actively defending this region and forming a higher low on the daily chart.
As a result, ETH has successfully reclaimed the 50-day SMA at $3,074, supporting a bullish near-term outlook. However, the 200-day SMA of $3,654 remains a key overhead resistance. Multiple rejections near this level suggest that sellers are still active, making this a critical barrier to the continuation of the trend.
Ethereum’s Relative Strength Index (RSI) is currently around 60.79, which is above the neutral 50 level but below overbought conditions. This indicates that bullish momentum is building, while there is still room for further upside before the market overheats.
At the same time, the price structure shows a completed bottom formation and improving momentum, indicating a potential trend transition phase rather than a confirmed breakout.
The 1-day ETH/USD chart analysis suggests that Ethereum could attempt a move towards the $3,350-$3,450 resistance zone, which previously acted as support. A daily close above this area could open the door for a retest of the 200-day SMA around $3,650, which would mark the next major upside target.
On the other hand, if ETH’s price fails to hold above its 50-day SMA, short-term profit taking could push the price back towards the $2,850 support zone, where buyers have stepped before.
Overall, Ethereum is showing early signs of recovery, but confirmed bullish continuation will require a clear breakout and acceptance above the 200-day SMA.
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