Ethereum (ETH) Records Significant Price Surge, Breaks $2,400

Ethereum (ETH) has experienced a significant price surge, breaking the $2,400 mark for the first time since January 2025. This increase outperformed Bitcoin (BTC) in terms of daily percentage gain, which only recorded a rise of about 6% during the same period. Several key factors contributing to Ethereum's price surge include:

Pectra Update (Peculiar Transaction Routing Architecture)
On May 7, 2025, Ethereum successfully launched its largest network upgrade since "The Merge" in 2022. This update improves scalability and flexibility in staking, as well as increasing the staking limit per validator from 32 ETH to 2,048 ETH. This development has attracted institutional investors and boosted market confidence in Ethereum.

US-UK Trade Agreement
The announcement of a trade agreement between the United States and the United Kingdom, made by President Donald Trump, had a positive impact on global markets. This agreement eased trade tensions and sparked investor interest in risk assets, including Ethereum.

Increase in DeFi and NFT Activity
Ethereum remains the primary platform for decentralized finance (DeFi) applications and non-fungible tokens (NFTs). The total value locked (TVL) in Ethereum-based DeFi protocols has now reached $60 billion, reflecting significant growth within the Ethereum ecosystem.

Decline in Bitcoin's Dominance
Bitcoin's dominance in the crypto market has fallen to 63.89%, while Ethereum has seen a nearly 13% increase in the past 24 hours. This decline in Bitcoin’s dominance indicates a shift in investor interest towards altcoins, with Ethereum being one of the main beneficiaries.

Technical Analysis and Price Outlook
From a technical perspective, Ethereum has successfully broken through important resistance levels at $2,250 and $2,400, supported by a significant increase in trading volume. Technical indicators suggest the potential continuation of the bullish trend, with the next price targets ranging from $2,600 to $2,800 if this positive momentum persists.

Ethereum's price surge beyond $2,400 reflects the combined influence of supportive fundamental and technical factors, such as the successful network upgrade, international trade agreements, and increased DeFi activity. Investors are advised to continue monitoring market developments and consider investment strategies that align with their risk profiles.