Ethereum Nears Critical $2,500 Support as Network Activity Surges Toward Record Highs

Ethereum (ETH) is currently testing a crucial support level at $2,500, a former resistance zone that could now serve as a springboard for further gains. Analysts are eyeing a potential bounce from this level, which might propel ETH toward the next resistance range of $2,800–$2,880. Such a breakout could also reignite momentum across the broader altcoin market. Meanwhile, on-chain metrics indicate Ethereum's network activity is nearing all-time highs, reminiscent of the 2021 bull market. This surge in usage underscores growing adoption and could provide fundamental support for ETH's price action. As of July 2025, ethereum remains a focal point for traders and investors alike, with its technical and on-chain dynamics suggesting a pivotal moment for the second-largest cryptocurrency.

Ethereum Tests $2,500 Support as Network Activity Nears All-Time High

Ethereum's price action is at a critical juncture as it retests the $2,500 level, a former resistance now acting as potential support. Market analysts are closely watching for a confirmed bounce, which could propel ETH toward the next resistance zone between $2,800 and $2,880. A successful hold here may ignite broader altcoin momentum.

On-chain data reveals Ethereum's network activity is approaching peak 2021 levels, with daily transactions nearing 1.5 million. This surge in usage occurs without compromising network performance, signaling robust fundamental demand alongside technical price strength.

Ethereum Foundation Researcher Justin Drake Introduces Gigagas Era Aiming At 10,000 TPS

Ethereum's network is poised for a significant upgrade as researcher Justin Drake unveils plans for the 'Gigagas Era,' targeting 10,000 transactions per second (TPS). This ambitious initiative aims to address longstanding scalability challenges by leveraging ZK VMs and real-time proving technologies. The push for higher throughput comes amid growing global crypto adoption, positioning Ethereum to maintain its dominance in the smart contract blockchain space.

Meanwhile, on-chain data reveals a notable surge in ETH reserves on Binance, jumping from 3.8 million to 4.9 million ETH between May and July. This accumulation suggests shifting market dynamics as Ethereum prepares for its next evolutionary phase.

5 Reasons Why Wall Street Is Obsessed With Ethereum as a Reserve Asset

Wall Street's fascination with Ethereum as a reserve asset stems from its foundational role in blockchain infrastructure and the broader crypto market. Crypto researcher Vivek Raman points to stablecoins and tokenization as key drivers of this trend.

Ethereum's infrastructure capabilities have made it a magnet for institutional interest. As the backbone of decentralized finance (DeFi) and the base LAYER for tokenization, ETH has become the digital equivalent of historical infrastructure investments like railroads or telecommunications—earning it the moniker 'digital oil.'

Layer 2 solutions are accelerating adoption. JPMorgan's use of Base for tokenized deposits and Robinhood's deployment of Arbitrum for stock tokenization demonstrate Ethereum's growing utility in traditional finance.

Ethereum at a Crossroads as Foundation Sells and Buyers Dig In

Ethereum, the world's second-largest cryptocurrency, presents a paradox in July 2025. While the Ethereum Foundation has executed a series of high-value sell-offs, retail and derivative traders continue to show robust demand. The Foundation's 21 transactions since April—totaling $52.8 million—suggest strategic portfolio management, yet its retained 196,000 ETH stake signals enduring commitment.

Market dynamics defy simple bearish interpretation. CryptoQuant data reveals persistently positive Spot Taker CVD, indicating net buying pressure. This divergence between institutional selling and retail accumulation creates a tension that could define ETH's next price inflection point.