Ethereum Price Surges Back to $4,100 as Institutions Step In to Buy the Dip

Ethereum’s price has surged past $4,100 as U.S. investors flock to “buy the dip” in light of a significant Coinbase Premium increase.

As of the latest update, Ethereum is trading around $4,134, rebounding significantly after the flash crash on Oct. 10 that briefly dropped its price to $3,686. Over the last 24 hours, ETH has gained approximately 8%, coinciding with a surge in trading activity.

In the past day, trading volume climbed nearly 19% to $56.2 billion, with derivatives activity witnessing substantial growth. Futures trading volume skyrocketed by 52.9% to $128.1 billion, while open interest rose by 9.3% to $48 billion, as reported by CoinGlass.

These statistics indicate an increase in market participation and fresh capital flowing back into Ethereum (ETH), rather than mere short-term repositioning.

Ethereum’s Coinbase Premium Reaches 2025 Peak

During the global market sell-off over the weekend flash crash, a notable divergence appeared between onshore U.S. demand and activity on international exchanges.

According to an Oct. 13 report by CryptoQuant contributor CryptoOnChain, Ethereum’s Coinbase Premium Index, which measures the price discrepancy between Coinbase and Binance, skyrocketed to +6.0—its highest level this year.

Typically, sell-offs driven by panic cause this indicator to turn negative as U.S. traders sell at lower prices. However, this time the premium flipped sharply positive, indicating that institutional and U.S.-based investors were buying heavily while others were retreating.

CryptoOnChain emphasizes that this shift represents “institutional dip-buying at scale.” Many large investors are viewing Ethereum’s decline as a buying opportunity rather than a cause for exit. This trend coincides with continued inflows into spot ETH exchange-traded funds, most utilizing Coinbase as their custodian, further highlighting robust U.S. buying pressure.

Notably, spikes in Coinbase Premium have historically preceded significant price recoveries. Similar patterns were observed in November 2024 during the Ethereum ETF launch and again in mid-2025 when U.S. whales accumulated ahead of anticipated rate cuts. In each instance, ETH prices surged by 20–40% in the subsequent weeks.

Technical Analysis of Ethereum Price

Ethereum’s chart suggests that the market is stabilizing following the flash crash. The relative strength index hovers around 46, indicating neutral momentum. Most short-term moving averages (10–50 day) are slightly above current prices, acting as resistance.

Longer-term averages (100–200 day), however, remain supportive, indicating underlying strength. The key resistance level for ETH is currently between $4,250 and $4,450.

If capital inflows continue, a decisive break above this range may set the stage for a move towards $4,600 or potentially $5,000. Strong support on the downside is identified between $3,700 and $3,900, where the 100-day average and lower Bollinger Band converge.