Ethereum Breakthrough Signal: Analysts Claim Current Pullback is a "Golden Buying Opportunity", ETH is Gaining Momentum

Ethereum (ETH) traded at nearly $4,433 on September 22, with a decline of 4.15% last week and daily trading volume dropping over 30% to $18 billion, reflecting that the market has entered a consolidation phase. However, multiple analysts point out that the current pullback is creating excellent buying opportunities, as the Ethereum DeFi ecosystem has for the first time surpassed $100 billion in Total Value Locked (TVL), and ETH is poised to prepare for the next wave of pump.

Ethereum DeFi ecosystem has set a milestone, laying the foundation for price pump

The DeFi ecosystem of Ethereum has surpassed the Total Value Locked (TVL) threshold of 100 billion USD for the first time since early 2022. This milestone not only indicates Ethereum's recovery from the bear market but also confirms its continued dominance in the DeFi space.

According to data from DefiLlama, Ethereum and its Layer 2 solutions account for 64.5% of the Total Value Locked, while Solana accounts for less than 9%. This overwhelming advantage reinforces ETH's position as the dominant cryptocurrency and provides solid support for its price.

On-chain activities show strong demand

With the revival of DeFi, the fundamentals of Ethereum are continuously improving:

· In the past week, Ethereum network fees have increased by 40%

· The number of active wallet addresses has increased by 10%.

· As all Ethereum transactions require ETH, the increase in usage directly drives the demand for ETH.

The increase in fees also benefits validators, enhancing network security while promoting Ethereum's automatic burn mechanism, thereby steadily reducing supply. The combination of higher activity and structural supply reduction strengthens Ethereum's long-term investment case.

At the same time, the volume of decentralized exchanges (DEX) has exceeded 3.5 trillion USD, demonstrating Ethereum's unparalleled scale in the field of decentralized applications.

Vitalik Buterin Describes the Long-Term Vision for Ethereum

Ethereum founder Vitalik Buterin recently stated that he hopes to lay a more stable foundation for the long-term development of Ethereum. He believes that low-risk DeFi protocols can become a stable source of income for Ethereum, just as Google Search is for Google.

Buterin explained that DeFi does not need to be flashy or revolutionary to be effective. Instead, it should serve as a reliable source of income that does not involve ethical issues and does not contradict the values of Ethereum.

He also urged developers to explore new forms of digital assets, such as basket currencies and flat currencies linked to the consumer price index, which can strengthen Ethereum's position as a pillar of global financial innovation.

Ethereum (ETH/USD) Technical Outlook

(Source: Trading View)

The price prediction for Ethereum appears to be neutral, as the trading range of the cryptocurrency is narrowing, with price movement confined to a symmetrical triangle since mid-September.

The 50-day moving average (EMA) is at $4,519, limiting the pump, while the 200-day moving average (EMA) is at $4,394, continuing to provide support. Volatility remains moderate, but such triangular patterns typically conclude with a decisive trend.

The momentum indicator shows the market is becoming cautious:

· RSI is at 40, reflecting that market strength is weakening.

The repeated upper shadows around $4,587 highlight supply pressure.

The rise at the bottom of this formation indicates that buyers are defending the $4,418-$4,394 area.

Falling below $4,394 will face the threat of $4,350 or even $4,280. On a positive note, if the price rebounds to $4,520, it may return to $4,587 and $4,670, and if it breaks through, it could point to $4,760 or even $5,000.

For traders, it is crucial to focus on bullish candlestick patterns near support levels. For investors, the consolidation here may serve as the foundation for Ethereum's next significant surge in 2026.