Ethereum’s native token ether (ETH) hit a intention two-year high forward of $3,000 on Tuesday – the first time it has traded at this level since April 2022.

The second largest digital asset by market cap rallied over 12% within the closing week and temporarily modified hands at $3,031, per knowledge from CoinMarketCap. At the time of writing, ether had failed to reach momentum in direction of a plug elevated, suggesting that this resistance level obtained’t be so straight forward to breach.

From a psychological point of view, this most up-to-date rally would possibly per chance even hold some traders on their toes, given the closing time ether rallied to this level within the weeks main up to April 3, 2022. At the time, ether rallied from $2,520 over three weeks to a high of $3,580, nevertheless its price plummeted 46% over the subsequent 40 days that adopted.

In its most most up-to-date review of the crypto market, onchain analytics agency Glassnode renowned that whereas Bitcoin dominance nonetheless remains vital, there are early signs of more investor capital rotating into other ecosystems esteem Ethereum and Solana.

“We portray that following the approval of the bitcoin ETF, ether has began to outperform bitcoin, which is a change from the relative underperformance right thru 2023,” mentioned the Glassnode analysts.

It would possibly be seemingly that predominant inflows into ether will most arresting materialize over the impending weeks, as they tend to shuffle relative to bitcoin inflows on legend of investors looking out to search out affirmation that digital asset markets are rising.

“In the 2021 cycle, the head inflow of most up-to-date capital into bitcoin took place 20 days forward of the head inflow into ether,” mentioned Glassnode analysts.

Strategies market knowledge means that a retest of some compulsory price stages would possibly per chance intention sooner somewhat than later. Coinalyze knowledge parts to more bullish bets on the value of ether,  exhibiting that 59% of traders had been in lengthy positions over a 24-hour timeframe.