Analysts forecast Ethereum (ETH) will break above the $4,000 benchmark by the end of 2025, propelled by significant institutional inflows and favorable market dynamics.
This bullish outlook follows ETH’s significant rebound, surging approximately 150% since its low point in April. Notable market participants including Mike Novogratz and Tom Lee have publicly supported forecasts exceeding the $4,000 level.
Lee specifically projects a 60% upside potential for ETH, suggesting a target could reach as high as $5,700 if the ETH/BTC ratio returns to 0.05.
Institutions are driving the momentum, with July seeing record inflows of $5.3 billion into spot ETH ETFs. This accumulation phase is further evidenced by crypto-native treasury firms holding 2.73 million ETH, equivalent to 2.26% of the total supply.
Supporting the accumulation thesis, Ethereum recently experienced its lowest net exchange outflow in two years, indicating significantly stronger holding and buying pressure than selling activity.