TLDR
- Ethereum is trading near $2,507, up 7.8% from its Aug. 21 opening price of $2,326
- US spot ETH ETFs recorded $697.2 million in net inflows during their strongest week of 2026
- The stablecoin market cap grew by $4.1 billion over the past two weeks, the first expansion since mid-May
- A record short squeeze liquidated nearly $3 billion in crypto positions, with 92% being bearish bets
- Key resistance sits at $2,550, with $2,656 and $2,812 as the next technical targets if bulls break through
Ethereum (ETH) is holding above the $2,500 level after a week driven by strong ETF demand, rising stablecoin liquidity, and a historic short squeeze.
ETH traded near $2,507 on Aug. 27, up roughly 7.8% from its opening price of $2,326 on Aug. 21. The token briefly hit a weekly high near $2,566 before settling into a tight range around the $2,500 mark.
The rally started after the US Treasury announced on Aug. 19 that it would at least double the size of its long-end bond buybacks from $2 billion to $4 billion per operation, starting Sept. 9. Markets read the move as supportive of liquidity-sensitive assets like crypto.
Shortly after, a massive short squeeze hit the market. Nearly $3 billion in leveraged positions were liquidated in 24 hours, with bearish bets making up about 92% of that total. ETH jumped roughly 18% during the event. It was the largest concentrated short squeeze since November 2021.
ETF Inflows Provide a Steady Foundation
US spot Ethereum ETFs recorded approximately $697.2 million in net inflows for the week ending Aug. 21. That was their strongest weekly performance of 2026 and part of a combined $2.6 billion that entered US-listed Bitcoin and Ethereum funds.
Over eight consecutive trading days, ETH ETFs pulled in $1.18 billion in net inflows. That is the longest positive streak since April and the largest eight-day flow since October, according to SoSoValue data.
Stablecoin supply also expanded. The total stablecoin market cap grew by roughly $4.1 billion over the past two weeks, with $2.37 billion of that coming in the last seven days. It is the first two-week expansion since mid-May.
Staked ETH continued rising, reaching 42.4 million Ethereum, representing 34.7% of the total supply.
$2,550 Is the Level to Watch
Analyst Ted Pillows flagged $2,550 as the key resistance level. He noted that a daily close above $2,550 could trigger a 10–15% rally and open a path toward $3,000.
$ETH just had another bullish breakout.
A daily close above $2,550 could result in a 10%-15% rally. pic.twitter.com/p4uHKq03FM
— Ted (@TedPillows) August 27, 2026
The daily chart shows $2,656 as the next technical target, followed by $2,812 and $2,969. The 14-day RSI sits near 77, in overbought territory, which points to the possibility of a pause before any further gains.
A three-day liquidation heatmap from CoinGlass shows the largest leverage cluster sitting near $2,545–$2,555, making that zone the immediate target if ETH continues higher.
Support levels to watch are $2,432, $2,343, and $2,187 on the downside.
