ETH.D (Ethereum Dominance) Weekly TF 2025
Summary:
Ethereum Dominance (ETH.D) has likely bottomed after retracing to its 78.6% Fibonacci level (~6.59%) and is showing early signs of a structural reversal. With institutional inflows, growing staking adoption, and key upcoming Ethereum upgrades, ETH.D may reclaim significant market dominance over the next 12–18 months. Our chart anticipates a bounce-pullback-rebound structure, aiming for 3 target zones: TP1 (23.5%), TP2 (30.8%), and TP3 (39%).
Contextual Market Alignment:
This ETH.D bullish bias aligns strongly with our broader market outlook:
TOTAL Market Cap Analysis → Bullish breakout structure, indicating overall crypto expansion.
TOTAL2 (Altcoin Market Cap Ex-BTC) → Bullish retracement completion and extension targets active.
BTC.D (Bitcoin Dominance) → Bearish confluence zone, suggesting Bitcoin may underperform versus ETH and altcoins, freeing up dominance space for ETH.D to rise.
Chart Context:
This weekly ETH.D chart uses a Fibonacci retracement from the top (~30.81%) to bottom (0%) to identify potential reversal zones. The dominance hit a key support area at the 78.6% Fib retracement (6.59%), showing a reaction that may develop into a reversal. The roadmap includes:
Rebound toward TP1 (23.54% = 23.5%)
Minor correction or consolidation
Breakout continuation toward TP2 (0.0% = 30.8%)
Extension leg targeting TP3 (–27% = 39%)
Key Technical Observations:
Support Levels:
78.60% = 6.59% (bottom support)
88.60%=3.5%
Possible Resistances:
61.80% = 11.77%
48.60% = 15.84%
38.20% = 19.04%
Resistance & TPs:
TP1: 23.54% (23.6% Fib)
TP2: 30.81% (Full retrace = 0%)
TP3: 39.13% (–27% extension)
Current level: ~9.36%
Clear bullish structure with a “bounce–pullback–rebound” sequence
Indicators:
Fibonacci retracements from ~30.81% to 0%
Structural pattern: rounded bottom / double bottom
Hidden bullish divergence forming on weekly timeframe
Fundamental Context:
Institutional Inflows & ETF Dynamics:
Since July 2024’s launch of spot Ether ETFs, inflows have been strong with a 15-day streak totaling approximately $837 million (~25% of total net inflows).
Recently, the SEC approved options trading on spot ETH ETFs (e.g., BlackRock, Grayscale), deepening liquidity and offering hedging mechanisms.
BlackRock is now pushing to add staking functionality allowing yield generation within an ETF wrapper. If approved, this could markedly increase demand.
Staking Growth & On-Chain Supply Dynamics:
27% of ETH is already staked, and ETF inflows could lift that by >10%.
A staking ETF would institutionalize ETH staking: more capital locked, less circulating supply → supply constraints could support dominance and valuation.
Ethereum Backbone in DeFi & RWA:
Ethereum still leads the Real-World Asset (RWA) space: over 50% market share and ~$5–6 billion in assets tokenized on-chain.
Its core infrastructure underlies the majority of DeFi, smart contracts, and stablecoins, reinforcing ETH.D’s structural resilience.
Network Upgrades & Tech Progress:
The Pectra upgrade (mid-2025) is on the horizon, introducing EIP-7251/7702, improving validator flexibility and network usability.
Combined with recent Dencun improvements, Ethereum is becoming cheaper and more efficient, boosting adoption in L2 ecosystems.
Price action & on-chain indicators:
ETH price has surged ~46% in the past 30 days, driven by ETF demand; some analyst forecasts target $3,000–5,000 year-end.
The withdrawal of ~$1.2 billion ETH from exchanges suggests increasing long-term holdings and less selling pressure.
Integrating with Your Technical Setup:
Level: 78.6%–61.8% bounce zones (6–11%)
Fundamental Support: Institutional re-entry via ETFs often begins with accumulation near support.
Level: TP1 at 23.6% (23.5%)
Fundamental Support: Could coincide with ETF inflows + early vesting of staking narratives.
Level: TP2 (~30.8%)
Fundamental Support: Full retrace driven by mass ETF adoption, options trading, and upgrade momentum.
Level: TP3 >39% (–27% ext.)
Fundamental Support: If staking ETF and yield-bearing structures go live, ETH.D could reach new dominance highs.
Summary of Fundamental Catalysts:
Spot ETH ETF inflows (~$800 M), with options exposure adding liquidity.
Upcoming staking ETF (BlackRock, Grayscale) with >10% locked-up supply implications.
Ethereum remains the DeFi and RWA backbone, sustaining structural demand.
Protocol upgrades (Pectra, Dencun) enhance scalability and adoption.
On-chain withdrawal trends show growing holder conviction.
Narrative / Bias & Strategy Implication:
ETH.D has likely completed its correction and is primed for a staged bullish reversal, mirroring prior cycles. The chart forecasts a rally toward TP1, where some short-term profit-taking and rotation to alts may occur (Alts season). Following that, a retrace may set up the next impulsive move to reclaim lost dominance and eventually challenge prior highs.
Time Horizon: Mid-2025 to late 2026
