Ethereum Breaks Key Resistance, Targets $2,600 Amid Bullish Momentum

Ethereum's price has demonstrated strong bullish momentum, breaking past the critical $2,550 resistance level and surpassing a key bearish trend line at $2,520. With ETH now trading comfortably above the 100-hourly Simple Moving Average, technical indicators suggest further upside potential. The cryptocurrency has already breached the 50% Fibonacci retracement level of its recent downturn, and the next major target is the $2,600 zone. This upward movement signals renewed confidence among traders and investors, positioning Ethereum for potential new highs in the near term.

Ethereum Price Pushes Higher — Eyes Set on Next Major Barrier

Ethereum's price has surged past the $2,550 resistance level, signaling renewed bullish momentum. The breakout follows a decisive MOVE above a key bearish trend line at $2,520, with ETH now trading comfortably above the 100-hourly Simple Moving Average.

Technical indicators suggest further upside potential. The 50% Fibonacci retracement level of the recent downturn has been breached, and eyes are now on the $2,600 zone. A clear breakthrough at $2,650 could pave the way for a test of $2,720, marking the next significant resistance level.

Market sentiment appears favorable as ethereum mirrors Bitcoin's upward trajectory. The cryptocurrency's ability to maintain support above $2,520 will be crucial for sustaining this positive trend in the near term.

Vitalik Buterin Proposes Ethereum Gas Cap to Enhance Network Security

Ethereum co-founder Vitalik Buterin has introduced a proposal to implement a gas cap on the network, aiming to bolster security and stability. The proposal, formalized on GitHub under EIP-7983, replaces the earlier EIP-7825 suggestion of a higher gas limit.

The current Ethereum design allows a single transaction to consume all available gas in a block, creating a denial-of-service risk. EIP-7983 addresses this by enforcing a strict 16.77 million gas cap, dividing large transactions into smaller segments. Transactions exceeding this limit will be automatically rejected at both the mempool and block validation stages, mitigating congestion risks as Ethereum adoption grows.

The 16.77 million gas threshold was chosen to balance flexibility and security. It accommodates complex operations like smart contract deployments while maintaining predictable execution times. The original EIP-7825 proposal of a 30 million gas cap was deemed too permissive, potentially undermining network stability.

Ethereum Activity Shifts Amid Foundation Outflows and Retail Accumulation

Ethereum's network dynamics show a curious divergence: while active addresses climb, user engagement declines. The Ethereum Foundation continues its strategic divestment, offloading 1,000 ETH ($2.51 million) in its latest transaction—part of 21 outflows totaling $52.82 million since April. Yet its war chest remains formidable, with 196,000 ETH ($495 million) still under management.

Market mechanics tell a more bullish tale. Despite the Foundation's persistent selling, derivatives data reveals aggressive dip-buying, with the 90-day Spot Taker CVD flashing buy dominance as of July 6. This absorption of sell pressure suggests strong support above $2,500, even as whales lighten their positions and retail investors accumulate.

The $2,550 resistance level looms as a critical technical threshold. While macro conditions bear caution, Ethereum's price resilience hints at underlying institutional conviction—a stark contrast to the Foundation's apparent risk mitigation strategy.

Vitalik Buterin Backs Ethereum's Gas Cap Proposal Amid Wall Street's $4.3B Bet

Ethereum's EIP-7983 proposal, which aims to cap gas usage per transaction at 16.77 million units, has garnered support from co-founder Vitalik Buterin. The measure seeks to enhance network stability and mitigate denial-of-service risks by preventing single transactions from consuming excessive block capacity. Most users will remain unaffected, as typical transactions already operate well below the proposed limit.

Institutional interest in Ethereum continues to surge, with BlackRock and former U.S. President Donald TRUMP among high-profile backers. The cryptocurrency's resilience and growing adoption suggest a potential bullish breakout, as Wall Street positions over $4.3 billion in bets on ETH's future.