Can Ethereum initiate a new bull market? The key still depends on the cooperation of two aspects—whether technical breakthroughs and fundamental support can work together effectively.

From a technical perspective, if Ethereum breaks through the resistance level of $3150, the market's focus will immediately shift to subsequent gains and target prices. The logic here is quite clear: after breaking the neckline, the inverse head and shoulders pattern points to around $3400 as the first target. If the momentum continues to strengthen, it could surge toward the $4400 region. It’s important to note that the $4400 level is close to the annual high of over $4000 set in March 2024, which will likely encounter psychological resistance, but that is precisely the area the market needs to break through.

Interestingly, when looking at Ethereum's valuation relative to Bitcoin over a longer timeframe, the story becomes even more intriguing. During the 2018 bear market, ETH/BTC fell to a low of 0.01. In this current bear market since 2022, the lowest ETH/BTC has been around 0.05. While this may seem like Ethereum is relatively weak, from another perspective—this actually indicates that the Ethereum ecosystem has accumulated real on-chain value over these years, and there is long-term revaluation potential.

Fundamental data is even more encouraging. Currently, over 32 million ETH are staked, accounting for nearly 30% of the total supply, with a market value exceeding $105 billion. The number of validators has also surpassed one million, fully demonstrating Ethereum’s decentralization and network resilience. However, it’s important to remember that any breakthrough comes with risks, and investors should always stay vigilant.