Ether (ETH) has soared nearly 20% in the past 24 hours following the highly anticipated Pectra upgrade, sparking speculation among traders that the asset may be at a major turning point after a lackluster year. At the time of writing, ETH is trading at $2,230—up 19.6%—according to CoinMarketCap.
The explosive move came in the wake of the Pectra hard fork, which went live on May 7. It introduced major enhancements including new wallet functionality, scalability improvements, and increased staking limits. Pseudonymous trader Daan Crypto Trades described the 20% price candle as “pretty insane,” while Ether Open Interest (OI) spiked 21% in the same timeframe.
Long positions dominate as shorts face liquidation
Crypto trader Alex Kruger noted on May 8 that the price surge appeared to be driven largely by the influx of new long positions. This aggressive buying caught many short sellers off guard, with Coinglass data showing $328 million in Ether short positions were liquidated within 24 hours.
Despite the rally, risks remain. If ETH dips back to $2,000, roughly $2.06 billion worth of long positions would be at risk of liquidation. Still, some traders are optimistic. “ETH holders thinking this might finally be the turning point,” said trader Bob Loukas.
Ether’s rally comes after months of underperformance. In 2025, ETH plunged 56% from its January 1 price, bottoming out at $1,472 on April 9—its lowest this year—amid shaky market sentiment.
However, historical trends offer hope. Since 2013, Ether has averaged a 62.2% return in the second quarter. Based on its April 1 price, this pattern could push ETH near $2,950 by the end of June, if it holds true.
ETF outflows persist despite price rally
Interestingly, the surge hasn’t yet carried over to institutional investment. Spot Ether ETFs posted outflows for the third consecutive day on May 8, shedding $16.1 million, according to Farside data.
Meanwhile, the broader crypto market has also rebounded. Prices rose 4.95% across the board in the last 24 hours, with sentiment indicators reflecting the shift. The Crypto Fear & Greed Index moved 8 points higher into the “Greed” zone, now sitting at 73.
