Ethereum network activity has surged by 63% in the past 30 days, hinting at a potential breakout to $5,000. Ether futures open interest hit $69 billion, indicating strong demand for leveraged exposure. The recent rally to nearly four-year highs triggered $351 million in liquidations from bearish bets, fueled by expectations of a less restrictive US monetary policy.

The Nasdaq Index’s 1.8% climb signals renewed appetite for ETH and risk assets, with Ether gaining 33% in the last month. Powell’s comments at the Jackson Hole Economic Symposium suggest multiple rate cuts, with markets pricing in a 45% chance of rates falling to 3.5% or below by March 2026. Lower borrowing costs could reduce systemic risks.

Ethereum’s network activity spiked with a 63% increase in transactions and a 26% rise in active addresses over the past month. In contrast, Solana saw a mere 2% transaction increase, while BNB Chain experienced a 50% drop in transaction count. This growing activity supports the bullish case for ETH and its potential breakout.

ETH futures markets exhibit caution, with a 7% monthly premium over spot prices, up from 4%. This hesitancy partly stems from competitors like BNB and Tron trading above their 2021 peaks while ETH struggles below $4,868. Despite strong network fundamentals, some traders remain cautious, impacting ETH’s price performance.

Healthy ETH futures metrics, including robust open interest of 14.4 million ETH and $69 billion in leveraged bets, signal a potential breakout. The combination of elevated futures premiums, resilient open interest, and surging onchain activity strengthen the case for ETH surpassing the $5,000 milestone sooner than anticipated.

Read more at CoinTelegraph: ETH Treks Toward $5K As Data Confirms Trend Change