Ethereum (ETH) price, has staged a remarkable comeback by breaching the $2,000 resistance level.
Before this breakout, the asset had remained under $2,000 since March 2025. However, in the last 24 hours, ETH’s price increased by over 12% and breached this level.
Undervalued Relative to Bitcoin, ETH Price Breakout Gains Strength
Amid this positive development for Ethereum investors, CryptoQuant, an on-chain platform, has made a valuation and market activity comparison between ETH and Bitcoin (BTC).
According to CryptoQuant, Ethereum’s Market Value to Realized Value (MVRV) ratio appears cheap relative to Bitcoin’s.
“ETH is now extremely undervalued compared to BTC, the first time since 2019,” the on-chain platform wrote.
This indicates that since 2019, Ethereum has strongly outperformed Bitcoin. Interestingly, this underperformance has bullish implications for ETH price
Historically, in a previous cycle, when ETH reached undervaluation levels similar to Bitcoin, this resulted in faster price growth for the altcoin.
The development has sparked anticipation for a bullish breakout for Ethereum.
As of this writing, the Ethereum price was changing hands at $2,050.63, representing a 13.43% increase.
ETH price climbed rapidly from $1,788.69 to break through the $2,000 resistance. Trading volume has also witnessed a significant uptick of 14.35% to $28.01 billion.
Despite these bullish signals, CryptoQuant has cautioned investors to remain watchful. It noted that the asset risks are experiencing supply pressure, weak demand, and low transaction volume.
These factors could ultimately limit Ethereum’s rebound move in its current breakout state.
Institutional Whale Activity Bolsters Bullish Case
Interestingly, the broader market activity signals Ethereum’s potential to sustain the upward trajectory.
In addition, Lookonchain has spotted a bullish movement in Ethereum. Notably, Abraxas Capital, an investment firm, has engaged in massive acquisitions of ETH from Binance and Kraken exchanges.
In the past 12 hours, Abraxas Capital purchased 41,269 ETH valued at approximately $75.46 million from these exchanges.
Following the purchases, the firm moved the asset to its private wallet.
This suggests that Abraxas Capital intends to hold this large accumulation of Ethereum for a long time and not trade it.
This is a significant development, as the volume indicates strong institutional interest and confidence in ETH price’s future outlook.
Abraxas Capital’s withdrawal from the two exchanges to its private wallet also reduces the supply of liquidity on trading platforms.
This could influence market sentiment and support a price increase.
Ethereum’s ability to sustain the current price trajectory and find support above the $2,000 price level might help it aim higher.
As reported by The Coin Republic, a daily close above $2,200 could confirm its bullish climb.
Pectra Upgrade for Long-Term Ethereum Ecosystem Growth
The Ethereum ecosystem is riding on a bullish high as it recently completed the Pectra upgrade.
The upgrade is a powerful fusion of Prague and Electra, unlocking Ethereum’s next level of evolution.
Notably, the upgrade will make the Ethereum network faster, smarter, and more efficient. Users are expecting a smoother experience on the network.
It is worth noting that although the Pectra upgrade is significant, it is not the sole driver of the current breakout above $2,000, as some users suggest.
While Pectra enhances Ethereum’s fundamentals, the recent price surge is likely due to the whale accumulation, renewed interest by market participants, and market recovery.
