Ethereum Poised For Breakout? SOPR Trend Hints At $5,000 Upside

Ethereum (ETH) has been on an uptrend since September 28, moving from approximately $3,800 to the mid $4,000 range. Data indicates a recent "reset," with potential targets around $5,000.

Price Dynamics and SOPR Analysis

ETH dropped to the $3,800-$3,900 range, now trading in the mid $4,000s.
The Spent Output Profit Ratio (SOPR) is volatile around 1.0, indicating short-term demand meets supply.
Price declines are quickly reversed if SOPR stays above 1.0.
A local bottom near $3,800-$3,900 was followed by a rebound to $4,500, with gradual corrections.
SOPR between 0.98 and 1.03 suggests position rotation rather than sell-off.
Reaccumulation signs: as long as SOPR is ≥1.0 and support at $4,000 holds, upside potential exists.
Sustained break above $4,500 could lead to higher targets; below $4,000 with SOPR <1 shows seller control.

Exchange Reserves and Whales Activity

ETH reserves on exchanges are declining as investors withdraw for self-custody or staking.
ETH whales recently acquired $1.73 billion worth of ETH, pushing exchange balances to a nine-year low.
Technical analysis: Ethereum’s RSI signals potential price increase, possibly reaching $8,000.
Current trading price: $4,471, up 2.6% in the last 24 hours.