Ethereum’s price is holding firm around $4,000, but analysts and on-chain data suggest this may just be the calm before a major breakout. A mix of bullish technical setups, institutional optimism, and fresh Ethereum Foundation moves are setting the stage for what some traders believe could be the next big leg higher in the market cycle.
Bullish Patterns Signal Upside Potential
Market strategist Titan of Crypto highlighted a bull flag formation on Ethereum’s weekly chart, calling the pattern “still valid”. If confirmed, he believes ETH could rally toward $6,700 in the coming weeks. The setup resembles a classic continuation pattern, forming after a strong impulse move, one that often precedes another major breakout.
Meanwhile, fellow analyst Rekt Fencer sees an even bigger picture. He noted that Ethereum’s current structure mirrors Bitcoin’s 2020–2021 breakout, which preceded BTC’s run from $10,000 to nearly $70,000. By comparison, he argues, Ethereum could target $15,000 this cycle if the fractal repeats. “Don’t overthink it,” he wrote, underscoring his confidence in the macro pattern.
Ethereum Foundation Strengthens Fundamentals
Beyond charts, fundamentals are also turning bullish. The Ethereum Foundation announced the deposit of 2,400 ETH (worth roughly $9.6 million) and $6 million in stablecoins into Morpho’s yield-bearing DeFi vaults. The move reflects the Foundation’s growing alignment with permissionless and open-source DeFi infrastructure, a long-term vote of confidence in Ethereum’s on-chain economy.
Morpho, a project known for its transparent, non-custodial lending architecture, will upgrade all its major protocols to GPL 2.0 open-source licensing by January 2026, ensuring developers can freely build and fork its technology. The Foundation emphasized that such initiatives make Ethereum’s ecosystem “more resilient and permissionless,” underscoring its commitment to decentralized finance principles.
0/ Today, the Ethereum Foundation deposited 2400 ETH and ~$6M stablecoins into Morpho’s yield-bearing vaults.
Morpho is a pioneer in permissionless DeFi protocols and consistently demonstrates a commitment to Free/Libre Open Source Software (FLOSS) principles.
— Ethereum Foundation (@ethereumfndn) October 15, 2025
Technical and Fundamental Momentum Align
Ethereum’s $3,900–$4,000 support zone remains the line in the sand for traders. Analyst Ali Martinez notes that if this level holds, Ethereum’s MVRV deviation bands point to a potential advance toward $5,000–$6,000, setting the stage for the larger technical targets highlighted by Titan and Rekt Fencer.
In short, the charts and fundamentals are converging: strong on-chain accumulation, institutional inflows, and the Ethereum Foundation’s renewed DeFi engagement have reinforced confidence in the network’s trajectory.
Outlook: The $4,000 Pivot Could Define the Next Ethereum Rally
As Ethereum steadies near $4,000, analysts agree this area could mark the base for a multi-month breakout. If momentum builds and the bull flag confirms, ETH could first aim for $6,700, followed by a potential macro push toward $15,000 later in the cycle.
Whether or not that full move materializes, the consensus is clear, Ethereum’s next major act may already be in motion.