Ether’s Meteoric Rise: A 20% Surge After Pectra Upgrade – Turning Point?
The cryptocurrency market witnessed a dramatic surge in Ether (ETH) prices, climbing an impressive 20% within 24 hours following the launch of the Pectra upgrade. This significant price jump has led many in the crypto community to speculate whether this marks a pivotal turning point for the asset, which has experienced fluctuating market sentiment throughout much of 2025.
At the time of writing, Ether is trading at $2,230, reflecting a 19.6% increase over the past 24 hours according to CoinMarketCap. Prominent crypto trader, Daan Crypto Trades, described the price movement as a “pretty insane candle.” The surge was accompanied by a 21% spike in Ether Open Interest (OI).
Traders Caught Off Guard by Ether Price Pump
The Pectra upgrade, launched on May 7, introduced several key features including enhanced wallet functionalities, increased staking limits, and scalability improvements to the Ethereum network. However, the immediate and substantial price increase following the upgrade surprised many market participants.
According to Alex Kruger, a well-known crypto trader, the sharp price rise was primarily fueled by an influx of new long positions. Data from CoinGlass indicates that if Ether were to retrace to $2,000, approximately $2.06 billion in long positions could be at risk of liquidation. Conversely, around $328 million in Ether short positions were liquidated during the same period.
Bob Loukas, another influential crypto trader, expressed the sentiment shared by many ETH holders, suggesting that this significant price jump might finally signal a turning point for the asset. 2025 presented challenges for Ether’s price, with a considerable decline of 56% from its January 1 price to a low of $1,472 by April 9.
Interestingly, Ether’s recent rally coincides with a positive trend in Bitcoin (BTC), which gained 3.59% over the same period and almost 6% over the past week, reclaiming the $100,000 mark on May 8 for the first time in over three months.
Nick Forster, founder of the onchain options protocol Derive, provided further insight, suggesting that several factors contributed to Ether’s price surge beyond the Pectra hard fork. He highlighted the recent US-UK trade deal and Coinbase’s acquisition of Deribit as potential contributing elements.
Related: Ethereum price finally ‘breaking out,’ data suggests — Is $3K ETH next?
Historically, Ether has demonstrated robust performance in the second quarter, averaging a 62.2% return since 2013. Based on this historical trend, and assuming it continues, Ether could potentially reach around $2,950 by the end of June.
However, it’s important to note that the momentum hasn’t translated to spot Ether ETFs, which reported outflows for the third consecutive day on May 8, totaling $16.1 million according to Farside data.
The broader cryptocurrency market also experienced a positive shift in sentiment, with a 4.95% surge over 24 hours. The Crypto Fear & Greed Index climbed another 8 points to 73, moving further into “Greed” territory.
Disclaimer: This article does not provide financial advice. All investment decisions involve risk, and readers should conduct thorough research before making any investment choices.