Here’s Why Ethereum Price Remains Bullish Above $2.8K

Ether (ETH) price is up 11% since plunging below the $3,000 mark on Nov. 22, reclaiming key support levels. Analysts say that increased demand from institutions, coupled with the end of quantitative tightening, could lead to a recovery toward $3,600 next.

Key takeaways:

Ethereum demand is recovering along with ETF inflows.

The end of the Fed’s QT on Dec. 1 will unlock liquidity into crypto markets.

Ether’s V-shaped chart pattern hints at a $3,600 target if key support holds.

Ether’s apparent demand hits a 26-month high

Ethereum’s Apparent Demand has remained positive despite the recent drawdown and has risen to its highest level since September 2024.

Apparent Demand is a metric that gauges Ether’s market demand by measuring the difference between the daily ETH issuance and the change in inventory (supply that has been inactive for over one year. Positive values suggest rising demand.

Capriole Investment’s Bitcoin Apparent Demand metric reveals that demand for Ether has increased sharply to 90,995 ETH on Nov. 26, from 37,990 ETH on Nov. 22.

Related: High percentage of Bitcoin, ETH, SOL held at a loss: Is it a bear market sign?

Increasing ETH demand amid drawdown signals aggressive accumulation on price dips, pointing to an imminent rebound.

Ethereum apparent demand. Source: Capriole Investments

The last time demand was this high was in September 2023, when the price was hovering between $1,500 and $1,700 after a 25% drawdown. This was followed by a 165% rally to $4,100 in March 2024.

Meanwhile, spot Ethereum ETF flows have flipped positive, recording inflows for three consecutive days, totaling $230.9 million.

The reversal followed a punishing stretch from Nov. 11–20, when Ethereum funds shed a combined $1.28 billion, one of the longest and deepest red waves since the ETFs launched.

Ethereum ETF flows table. Source: Farside Investors

Part of Ether’s ability to sustain a recovery above the $2,800 support comes from expectations that increased demand and ETF inflows will provide tailwinds that will push the ETH price higher.