- Inflows into spot ETFs and declining exchange reserves strengthen Ethereum’s bullish outlook.
- Reported ETH holdings linked to Jack Ma add optimism to market sentiment.
- $4,400 support and $4,800 resistance are key levels to watch.
Despite the current market correction, Ethereum’s technical structure and macro fundamentals point to a potential near-term rebound.
Strong institutional demand, steady spot-ETF inflows and notable accumulation—fueled in part by reports about Jack Ma’s ETH reserve—have bolstered bullish sentiment among traders and analysts.
Institutional inflows drive momentum
U.S. spot Ethereum ETFs continue to attract attention, recording inflows of $420.90 million on October 7, marking the seventh consecutive day of positive flows.
Source: CoinGlass
These inflows not only enhance liquidity but also indicate growing institutional confidence, a factor likely to support a medium-term recovery toward the $4,900–$5,000 range.
Persistent demand has coincided with falling exchange reserves, which have declined to a three-year low of 17.4 million ETH.
Corporate accumulation and the EIP-1559 burn mechanism are tightening supply further, creating a backdrop for potential price acceleration.
Technical patterns point to a potential ETH breakout
Ethereum’s price action over recent weeks shows a mix of consolidation and cautious upward pressure.
The token is trading near $4,450, with short-term support around $4,400–$4,420.
Since June, a rising triangle pattern has been developing, characterized by ascending support and a horizontal ceiling near $4,750–$4,800.
Source: CoinMarketCap
This formation suggests ETH could be poised for a breakout if bulls reclaim the $4,800 area, potentially opening the door to the psychological $5,000 milestone.
Despite volatility, the Relative Strength Index (RSI) sits around 54, indicating a balanced market that may be ready for renewed momentum.
Jack Ma’s reported Ethereum reserve boosts sentiment
While details remain unverified, reports that Jack Ma is building a strategic Ethereum reserve have sparked optimism—particularly in Asian markets where 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 mix of symbolic corporate accumulation and healthy technical positioning has renewed interest among both retail and institutional investors.
The report adds a layer of confidence to the bullish narrative and complements ongoing ETF inflows and shrinking exchange balances.
Key Ethereum price levels to watch
Ethereum’s recent correction from $4,800 down to roughly $4,450 underscores ongoing volatility.
The hourly chart shows resistance near $4,600 and important support around $4,400–$4,420.
If ETH fails to hold the $4,400 support, further declines to $4,320 or even $4,150 are possible.
Analysts argue these dips appear more like momentum resets than trend reversals, especially as Bitcoin (BTC) is undergoing a similar retest after reaching a new all-time high above $126,000.
Some forecasters have suggested Bitcoin could reach $140,000 by the end of October, a move that would likely lift broader crypto market sentiment and, in turn, improve Ethereum’s price outlook.
Provided ETH remains above $4,400, bulls could regain control and push the token toward the next major targets around $4,950–$5,050.