Spot ETF inflows and declining reserves boost Ethereum’s bullish outlook.
Jack Ma’s reported ETH reserve adds optimism to market sentiment.
$4,400 support and $4,800 resistance are key levels to watch.
Despite the current market correction, Ethereum’s technical and macro fundamentals point to a potential resurgence in the near term.
Strong institutional demand, continuous inflows into spot ETFs, and notable accumulation headlines, including the rumoured reserve by Jack Ma, have reinforced bullish sentiment among traders and analysts alike.
Institutional inflows driving momentum
US spot Ethereum ETFs have continued to attract significant attention, recording $420.90 million in inflows on October 7, marking the seventh consecutive day of positive flows.
The inflows not only bolster liquidity but also suggest growing institutional confidence, which is likely to support a medium-term recovery toward the $4,900–$5,000 range.
The sustained demand has coincided with a decrease in exchange reserves, which have fallen to a three-year low of 17.4 million ETH.
Corporate treasuries and the EIP-1559 burn mechanism are further tightening supply, creating a backdrop for potential price acceleration.
Technical patterns hint at a potential ETH price breakout
Ethereum’s price movements over the past weeks show a mix of consolidation and cautious upward pressure.
The token has been trading near $4,450, with short-term support holding around $4,400–$4,420.
Notably, there is an ascending triangle pattern forming since June, with rising support and a horizontal ceiling near $4,750–$4,800.
This formation suggests that ETH could be poised for a breakout if bulls can reclaim the $4,800 level, opening the path toward the psychological $5,000 milestone.
Despite the volatility, the Relative Strength Index (RSI) is currently hovering around 54, indicating that the market remains balanced and ready for renewed momentum.
Jack Ma’s Ethereum reserve boosts sentiment
While details remain unverified, the news that Jack Ma is accumulating a strategic Ethereum reserve has fueled optimism, particularly in Asian markets where Ethereum (ETH) adoption and staking activity are robust.
Jack Ma is building a strategic Ethereum reserve.
I’m definitely not selling. pic.twitter.com/mq2THUv0xA
— Crypto Rover (@rovercrc) October 7, 2025
The combination of symbolic corporate accumulation and healthy technical positioning has prompted renewed interest among retail and institutional investors.
The report adds a layer of confidence to the bullish narrative, complementing ongoing ETF inflows and decreasing exchange balances.
The key Ethereum price levels to watch
Ethereum’s recent correction from $4,800 to around $4,450 highlights that the market is still quite volatile.
The hourly chart indicates resistance near $4,600 and key support levels at $4,400–$4,420.
If ETH fails to hold the support at $4,400, further downside to $4,320 or even $4,150 could occur.
However, analysts maintain that these dips appear more like momentum resets than trend reversals, especially seeing that even Bitcoin (BTC) is witnessing a similar retest after hitting a new all-time high (ATH) above $126,000.
For Bitcoin, some economists have projected that it could hit $140,000 before the end of October, which, as is usually the case, could lift the entire crypto market sentiment, boosting Ethereum’s price outlook.
If the Ethereum price maintains above $4,400, it could allow bulls to reassert control and drive the token toward its next major targets near $4,950–$5,050.
