#以太坊重返3800# There is a possibility that Ether may reach 4000 USD. Recently, the price of Ethereum has surged strongly, and there are many favourable factors in the market, as detailed below:

- Institutional optimism and capital inflow: Fundstrat's technical strategy director Mark Newton predicts that the price of Ether will reach $4000 by the end of July. At the same time, Ethereum ETFs have attracted a total net inflow of $2.27 billion since July. Blackrock's net inflow of Ether has also been quite considerable, with $6.5 billion flowing in in just over half a month. The optimism from institutions and the significant capital inflow have provided momentum for the price increase of Ether.

- Market demand and confidence have increased: Since the beginning of July, the exchange's Ethereum balance has decreased by more than 317,000 coins, reflecting the strong confidence of holders in the token, which is a clear signal that the price will soon break through 4000 USD.

- Technical Upgrade Expectations: The market has strong expectations for the Ethereum network upgrade, optimistic about performance optimization prospects. The activity in the DeFi and NFT markets on the Ethereum blockchain has significantly increased, providing strong support for prices.

- Relevant favourable information: On July 17th, during Eastern Time, the U.S. Congress passed key cryptocurrency legislation, which is expected to further boost the cryptocurrency market. If subsequent related policies continue to be favourable, it will help the price of Ether rise.

- Short Squeeze Effect: According to trading resource The Kobeissi Letter, Ethereum is experiencing one of the largest short squeezes in crypto history, with a 10% price increase leading to an additional $1 billion in shorts being liquidated, which could drive the ETH price back up to $4,000.