- Ethereum’s $308B market cap tops Coca-Cola and Alibaba after a 42% five-day rally.
- Pectra upgrade enables ETH fee payments, higher validator limits, and layer-2 data efficiency gains.
Ethereum’s market value rose to $308 billion this week, exceeding the valuations of Alibaba ($303.7 billion) and Coca-Cola ($303.5 billion).
The 42% price increase followed the activation of the Pectra upgrade on May 7, Ethereum’s largest network update since transitioning to proof-of-stake in 2022.
The Pectra upgrade introduced features aimed at improving user experience and network scalability. Account abstraction now allows users to pay transaction fees with tokens other than ETH, while validator staking limits increased from 32 ETH to 2,048 ETH, accommodating institutional participants. The update also expanded data capacity per block, enhancing throughput for layer-2 networks like Arbitrum and Optimism.
These changes coincided with Ethereum’s price rebound from $1,786 in early May to $2,550 by mid-month. The asset had previously declined 33% between February and April, testing investor patience before the rally.
Ethereum now faces resistance near $2,624, a level tied to historical Fibonacci retracement patterns. Breaking this barrier could push prices toward $2,771 or $2,896, according to technical analysts.
Data from Coinglass shows $786 million in leveraged short positions vulnerable to liquidations if ETH rises 3% to $2,586. Conversely, a drop below $2,438 might trigger $715 million in long liquidations.
IntoTheBlock estimates 67 million ETH would become profitable at $2,600, benefiting 6.61 million holders. This threshold represents a psychological and technical test for Ethereum’s near-term momentum.
Ethereum ranks 39th by market value among global assets, trailing Bank of America by $7 billion. Its resurgence reflects renewed institutional interest in blockchain upgrades and layer-2 efficiency gains. However, volatility persists as traders weigh upgrade benefits against macroeconomic uncertainties.
Ethereum is currently trading at $2,474.70, with a -1.51% daily dip, following a massive bullish run that saw ETH rise 44% recently from $1,808 to $2,600. Over the past week, ETH is up +37.04%, and +58.21% over the last month, indicating significant momentum.
However, it’s still down -23.69% in 6 months and -25.60% year-to-date, as the coin recovers from earlier market pressure.
From a technical standpoint, Ethereum has now broken through multiple resistance zones and is targeting the $3,000 level, with key support levels sitting at $2,320 and $2,111.
If ETH holds above $2,470–$2,500, the next leg up toward $2,770 or even $3,100 could trigger a short-term price discovery rally. Market sentiment remains bullish, but RSI indicators suggest it may be nearing short-term overbought territory.
A major catalyst is the Pectra upgrade, launched May 7, 2025. It includes:
- Increased staking limits for validators
- Enhanced Layer 2 scaling and contract efficiency
- Foundation for EIP-7702, which enables account abstraction for smart wallets
In addition, Ethereum’s dominance is resurging as the Altcoin Season Index signals a shift of capital away from BTC into top altcoins like ETH, SOL, and XRP.
