3 Compelling Reasons Ethereum’s (ETH) Bull Run Still Has Legs in 2025

Ethereum defies gravity while traditional finance scrambles to catch up.

The Merge's energy efficiency overhaul continues paying dividends, cutting Ethereum's carbon footprint by over 99% while maintaining robust security. Institutional adoption accelerates as major financial players finally grasp what crypto natives understood years ago.

DeFi and NFT ecosystems expand despite regulatory headwinds, proving decentralized applications have moved beyond speculative toys to functional infrastructure. Layer-2 scaling solutions hit escape velocity, processing transactions at fractions of mainnet costs while maintaining Ethereum's security guarantees.

Traditional finance still views crypto through 20th-century lenses—missing the forest for the blockchain trees. Ethereum's network effects compound while Wall Street analysts debate whether digital assets constitute a 'real' asset class.

Are the Bulls Coming Back?

Ethereum, which was at the forefront of gains this summer, briefly plunged below $4,000 earlier today (September 25) amid an ongoing red wave passing through the entire crypto market. It later surpassed the psychological level but remains 12% down on a weekly scale.

Despite the negative performance, three crucial factors signal that a resurgence could be on the way. The first one is the diminishing supply of ETH tokens stored on crypto exchanges. CryptoQuant’s data shows that today the figure has dropped to a nine-year low of around 16.3 million coins. 

This development indicates that many investors have switched from centralized platforms to self-custody solutions, which in turn reduces immediate selling pressure. 

Next in line is Ethereum’s Relative Strength Index (RSI). The technical analysis tool examines the asset’s recent price movements to indicate whether it has entered oversold or overbought territory. It ranges from 0 to 100, and readings below 30 suggest that the first scenario could be in play, which can result in a rally. As of press time, the RSI stands at roughly 22.

Last but not least, we will touch upon the latest whale activity that may also positively impact ETH’s valuation. X user ZYN revealed that ten new wallets have purchased over 200,000 tokens worth more than $800 million in the last 24 hours. 

Such actions reduce the amount of coins available on the open market and could be followed by a price pump (should demand remain constant or rise). Additionally, smaller players may view this as an encouraging sign and join the ecosystem by distributing fresh capital. 

The Analysts’ Take

According to X user Lennaert Snyder, Ethereum’s road to recovery goes through a crucial reclaim of $4,200.

“Watching that level for confirmation shorts and longs after the gain. Losing $3,900 support brings us to the $3,700 zone, holding that is key to maintain the weekly uptrend,” he argued.

The analyst, using the X moniker Ted, leaned more bearish for the short term. He predicted that ETH will most likely retest $3,800, which could result in a further downtrend to $3,500. On the other hand, if it holds this level, “a rally will happen.”