Ethereum Surges Toward $4K on GENIUS Act Vote and Inflows
Ethereum traded near $2,975 as traders await a US House vote on the GENIUS Act, which could impose 1:1 reserves for stablecoin issuers and bring billions in stablecoin demand to the Ethereum network. The CLARITY Act and Anti-CBDC Surveillance State Act also face congressional debate, potentially shaping digital asset regulation.
Institutional inflows remain strong: US-listed Ethereum ETFs recorded a record net inflow of 225,857 ETH last week, while corporate treasuries added over 545,000 ETH (≈$1.6 billion) in the past month. Ethereum investment funds saw inflows for 12 straight weeks, totaling $990 million last week and exceeding $4 billion year-to-date.
On-chain data show a “bull flag” breakout above $3,000. Short-term traders endured over $500 million in liquidations, including $106 million in ETH positions. Key resistance levels lie at $3,300 and $4,000. A confirmed break above $3,000 on sustained buying could trigger a rally toward $4,000.
Bullish
The combined effect of potential regulatory approval of the GENIUS Act and sustained institutional inflows points to bullish momentum for Ethereum. In the short term, anticipation of stronger stablecoin demand on the Ethereum network and record ETF inflows have driven buying interest and a technical bull flag breakout above $3,000. This has created upward pressure on the ETH price, while recent liquidations have shaken out weak hands, setting the stage for further gains. Over the long term, clearer stablecoin regulations and continued accumulation by corporate treasuries and investment funds support a robust demand outlook. Together, these factors indicate that Ethereum is well-positioned to challenge resistance levels at $3,300 and $4,000.