Ethereum (ETH) prices have maintained a solid trend even after last week's strong rally. However, overseas crypto media outlet CoinGape reported that momentum indicators are showing overheating signals, suggesting a short-term correction or pause could occur.

■ 30% Weekly Surge... Watch for Overheating Signals

According to CoinGape, Ethereum rose 30% over the past week. With prices rising sharply in a short period, the market is described as being sensitive to corrections or short-term declines. CoinGape also noted that if key support levels break, it remains to be seen whether the larger chart pattern indicating a bullish trend can be sustained.

The overall market is also bullish. According to CoinGape, Bitcoin held around $77,000 on the 24th (local time). Bitcoin rose $14,264 in dollar terms last week, recording its largest weekly gain in history, up 20% for the week. Fueled by this rally, the total cryptocurrency market capitalization stood at $2.61 trillion, up 0.6% over the past 24 hours.

Market sentiment is also hot. Market sentiment has climbed to 'extreme greed,' with the Fear & Greed Index rising to 79, its highest level since December 2024, according to CoinGape. During the same period, XRP rose 50% to trade around $1.48.

CoinGape explained that the weak correlation between digital assets and traditional financial markets suggests these movements signal demand for cryptocurrencies themselves. However, it forecast that with major cryptocurrencies all entering overbought territory, the recent upward momentum could slow before the next bullish phase forms.

■ Institutional Money Flows Into Crypto ETFs

According to CoinGape, Ethereum spot exchange-traded funds (ETFs) recorded net inflows of $697 million in the last trading week. The tally covered August 17 to 21 (local time), showing growing institutional interest in various crypto investment products.

During the same period, money flowed mainly into Bitcoin. Bitcoin spot ETFs saw net inflows of about $1.918 billion, the largest amount. Net inflows into XRP ETFs totaled $39.78 million, exceeding inflows into Solana-based investment products over the period. Solana spot ETFs recorded net inflows of $28.34 million, indicating that investors are diversifying beyond Bitcoin and Ethereum. Spot HYPE ETFs brought in $3.89 million, the smallest net inflow among the five crypto investment products compared. CoinGape said most of the money entering these crypto ETFs was concentrated in Bitcoin and Ethereum products.

■ '$2,500 Is the Crossroads for the Upcoming Trend'

According to CoinGape, Ethereum's price rose 4% over the last four hours to reach $2,453.91. Its relative strength index (RSI) stood at 66.74, indicating a moderately strong trend. However, CoinGape explained that the MACD is showing a bearish crossover signal, meaning upward momentum is weakening in the short term.

CoinGape analyzed that Ethereum must close above $2,500 to move to the next stage of its recovery. If it breaks through $2,500, it could first target $2,550, with the possibility of rising further to $2,600 and $2,700.

Conversely, CoinGape forecast that if Ethereum fails to surpass $2,500, it could head toward its first support level of $2,350. If selling pressure intensifies and prices are pushed down to $2,300, the strength of the recent rally could face a test. CoinGape said that if prices fall below $2,300, market attention could turn to $2,200.

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