TLDR
- With Trump’s confirmation of ETH's addition to the U.S. Crypto Strategic Reserve, the price soared sharply by 15%, rocketing from $2,200 to $2,550 within just 60 minutes on March 2, 2025.
- In the derivatives market, there’s clear evidence of bullish momentum as long positions, totaling $1.14 billion, far surpass short positions at $333 million, suggesting easing hurdles against reaching the $3,000 mark.
- The Ethereum Foundation's decision to instate Hsiao-Wei Wang and Tomasz Stańczak as co-Executive Directors has invigorated investors’ confidence.
- From a technical standpoint, there’s evidence of a breakout from a falling wedge pattern, which often heralds an upward shift, potentially steering the price towards $4,000.
- Following the announcement, major cryptocurrencies like SOL, XRP, and ADA also experienced substantial growth, with double-digit percentage increases.
On Sunday, March 2, 2025, Ethereum witnessed a startling price jump, shooting from $2,200 to $2,550 within an hour of former President Trump’s assertion that ETH will be part of the U.S. Crypto Strategic Reserve.
The day began with uncertainty when Trump’s initial announcement only mentioned Leading to momentary market unease, Trump initially named SOL, ADA, and XRP as part of the strategic reserve assets, overshadowing Ethereum’s position, especially amidst ongoing dialogue about network updates and leadership shifts.
Through a post on Truth Social, Trump subsequently elucidated, “Obviously, BTC and ETH, among other esteemed Cryptocurrencies, are central to the Reserve. I genuinely favor Bitcoin and Ethereum!”
The market reaction was swift and decisive. Even though other cryptocurrencies had started to rise with the first announcement, Ethereum held steady at $2,200 until Trump’s explicit confirmation sent it rallying alongside the broader market.
Insights from the derivatives market display a pronounced confidence among buyers. The Coinglass Liquidation Map reveals that bulls assert a commanding presence with $1.14 billion worth of long positions dwarfing the $333 million in shorts, reflecting about 70% market dominance by bullish sentiment.
The upsurge in Ethereum’s price aligns closely with a pivotal leadership transformation within the Foundation. the Ethereum On March 1, a critical day for Ethereum, the Foundation declared Hsiao-Wei Wang, a veteran core researcher, and Tomasz Stańczak, CEO of Nethermind, as new co-Executive Directors.
This leadership change is poised to augment technical acumen and foster enhanced communication strategies within the Ethereum framework, happening precisely before Trump’s affirmation, thereby cultivating an advantageous market climate.
Technical Analysis
Supporting the positive trend, technical indicators are aligned. The ETHUSDT 12-hour chart reveals a classic falling wedge breakout pattern, known for indicating strong reversal potential, aiming at $3,000 in the near future.
The heightened trading volume confirms the credibility of this trend shift. The price hovers around $2,514, facing the upcoming significant resistance near $2,800, an erstwhile supply region.
Sustaining its upwards momentum above $2,500, Ethereum is projected to target between $3,200 and $3,400, as per analysts. Conversely, dipping below $2,500 could lead to a pullback towards $2,300 support.
The U.S. government’s slated cryptocurrency acquisition ripple effects are palpable beyond Ethereum. Names like XRP and Cardano also show an uptick, recording gains surpassing 20%.
As March 3 approaches, market participants expect heightened buying activity with U.S.-based ETF traders reentering, many having tactically leveraged for anticipated continued price growth.
Market dynamics illustrate a dwindling in resistance levels as it approaches $3,000, validated by a decline in short positions within the derivatives realm. as ETH The convergence of governmental backing, institutional interest, and favorable technical dynamics has rendered the current environment highly conducive for Ethereum and other principal cryptocurrencies as we step into March 2025.
As we move forward, ETH consistently trades above $2,500, maintaining the significant boost it enjoyed following Trump’s public clarification about its role in the U.S. Crypto Strategic Reserve.
Maisie is a seasoned journalist, specializing in Crypto & Financial news. With a portfolio including contributions to Moneycheck.com, level-up-casino-app.com, Computing.net, she now leads as Editor in Chief at Blockfresh.com.
