Ethereum surges past $3,300: A new chapter in the market fueled by inflation data

Following the release of U.S. inflation data in the early morning, Ethereum’s price surged within minutes, breaking through the key resistance level of $3,300. As of January 15, 2026, according to the latest Gate market data, Ethereum’s price has stabilized around $3,325, with market capitalization regaining over $400 billion. This breakout not only signifies a price increase but also reflects a market reassessment of Ethereum’s fundamentals and the macroeconomic environment.

Key Inflation Data Triggers Market Reversal

Mid-January 2026 U.S. inflation data became an important catalyst for the cryptocurrency market. Core CPI rose 2.6% year-over-year, below the market expectation of 2.7%. This moderate data reinforced market expectations that the Federal Reserve might shift toward an easing monetary policy.

For risk assets like Ethereum, easing inflation pressures mean a more favorable macro environment. After the data was released, funds quickly flowed from safe-haven assets into high-beta cryptocurrencies, with Ethereum being one of the main beneficiaries.

Before and after the inflation data release, market analysts outlined three possible scenarios. The first is the breakdown of the bearish structure after breaking through $3,171. The second is maintaining above $3,171 and testing the high of $3,300. The third is losing the support at $3,060 and further declining. The actual market trend aligned with the second bullish scenario: Ethereum not only quickly broke through the key resistance after the data release but also continued to climb to higher levels after a brief correction, demonstrating strong buying momentum.

Strong Support from Network Fundamentals

As the price broke through and technical indicators showed strong momentum, Ethereum’s on-chain fundamentals were equally encouraging. The latest on-chain data shows that the number of new daily wallets on Ethereum hit a record high, with over 393,000 new wallets added on Sunday alone. This data reflects a significant increase in network activity, with the total number of non-zero wallets rising to 172.9 million. The growth in network usage is partly attributed to the December Fusaka upgrade, which significantly reduced transaction costs, especially for data transfer from Layer 2 networks back to the mainnet.

Lower fees and improved interaction fluidity have encouraged more new users to create wallets and participate in the Ethereum ecosystem. Meanwhile, transfer activity of stablecoins on Ethereum surged, indicating active use of the network for real financial transactions and settlements.

Ethereum’s staking data is also noteworthy, with over half of the total ETH supply now locked in staking contracts, and the total staked deposit amount exceeding 77 million ETH, supporting network security.

Technical Structure and Market Sentiment Analysis

From a technical perspective, breaking through $3,300 has multiple implications. This key level has long served as resistance, and now it has successfully turned into support, indicating a fundamental shift in market structure. The breakout occurred after Ethereum successfully moved above the 50-day moving average (around $3,008), an important signal in traditional technical analysis. The current 14-day Relative Strength Index (RSI) stands at 64.58, showing strong momentum but not yet overbought, leaving room for further upside.

During the breakout, Ethereum demonstrated superior structural characteristics compared to Bitcoin. As buying pressure consistently held higher lows during pullbacks, a gradually ascending price structure was formed, laying the foundation for continued upward movement.

Market sentiment-wise, Ethereum’s breakout triggered a large-scale short squeeze. Data shows that in the past 24 hours, the total liquidation of open short positions across the network reached $682 million, with approximately $198 million in Ethereum shorts liquidated. This forced buying further accelerated the upward price momentum.

Institutional Participation and Capital Flows

During Ethereum’s breakthrough past $3,300, institutional involvement continued to deepen. Spot ETH ETF products experienced strong capital inflows, with weekly net inflows of about $394 million, and cumulative inflows over multiple weeks exceeding $3 billion. The sustained inflow of institutional funds reinforces Ethereum’s position in institutional portfolios, especially at current valuation levels, with professional investors showing active allocation interest. On-chain data indicates that “whale wallets” significantly accelerated accumulation near key price levels.

This large-holder accumulation behavior suggests that professional investors view the current range as a strategic entry point rather than a sell zone, reflecting growing confidence in Ethereum’s medium- to long-term prospects. Meanwhile, the circulating supply of ETH on exchanges continues to decrease, with over 36 million ETH staked, accounting for about 30% of the total supply, making the price more sensitive to demand changes and amplifying the impact of sudden buying.

Macroeconomic and Regulatory Environment

Changes in the macroeconomic environment have created favorable conditions for assets like Ethereum. The moderate inflation data eased concerns over aggressive monetary tightening, and risk appetite has noticeably rebounded. However, policy uncertainty remains. The U.S. Crypto Market Structure Act (CLARITY Act) has been postponed to late January, after market expectations that the bill would provide clearer regulatory guidance.

There are divisions within the Federal Reserve regarding the monetary policy path: some officials maintain a hawkish stance, believing inflation is still far from target, while others hold a dovish view, emphasizing the need to cut rates. This policy uncertainty could lead to increased market volatility in the future.

Nevertheless, Ethereum’s recent rally occurs against a relatively favorable macro backdrop, with easing inflation concerns and improved policy expectations supporting risk asset valuations.

ETH Price Observation Based on Gate Market Data

According to the latest Gate market data, as of January 15, 2026, Ethereum’s price is $3,325.03, with a 24-hour trading volume of $792 million. Over the past 7 days, ETH has increased by 4.88%, and over the past 30 days, it has risen by 13.03%.

From a technical standpoint, after breaking through $3,300, the next key resistance zone is between $3,450 and $3,550. If buying strength persists and can effectively break through this zone, further higher targets could be challenged. Short-term support has shifted to $3,200, with a multi-layered support structure between $3,000 and $3,200. The 50-day moving average (around $3,008) further reinforces the support zone.

Market analysis indicates that if Ethereum can sustain its current level, the medium-term technical target could be $3,468 and above. Longer-term, based on Elliott Wave theory, the potential target range might be between $8,500 and $11,000.

Ethereum’s network activity has hit a record high, with over 393,000 new wallets added daily, and the total number of non-zero wallets reaching 172.9 million. Over half of ETH is now staked, with more than 36 million ETH in staking contracts, accounting for about 30% of the total supply. The price chart’s winding upward curve resonates perfectly with the surge in network fundamentals. When the breakout occurs, it is not just a numerical change but a market rediscovery of the value of a decentralized computing platform. As institutional funds continue to flow through ETF channels and Ethereum’s deflationary mechanism becomes prominent during periods of high activity, this breakout may only be the beginning of a longer-term trend.