Key Takeaways: ETHFI has climbed nearly 30 percent in seven days, breaking above its 200-day moving average for the first time in months.
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ETHFI jumps 30% weekly as Ether.fi Summer upgrade drives breakout
ETHFI has climbed nearly 30 percent in seven days, breaking above its 200-day moving average for the first time in months.
ETHFI rose 29.9 percent to $0.51 over the past seven days, breaking above its 50-day, 100-day and 200-day moving averages after Ether.fi's Summer neobank upgrade expanded the protocol's product suite.
CoinGecko data showed ETHFI trading near $0.51 on August 17, up 7.7 percent over 24 hours and 27.9 percent over two weeks, with most of the rally taking place since August 13.
The Summer release, rolled out August 13, added tokenized stocks and metals through xStocks, portfolio-backed borrowing via an integrated Aave market on Optimism at roughly 4 percent rates, and fiat support for more than 30 currencies. Ether.fi had already migrated its infrastructure to OP Mainnet, where more than 70,000 active cards, 300,000 accounts and $200 million in TVL now operate.
The protocol routes revenue from staking, payments, borrowing and trading products into automatic ETHFI purchases, creating a direct link between product usage and token demand. Immediate resistance sits at $0.52; a daily close above that level could open a move toward $0.55 and then $0.60.
Buyback mechanism ties protocol revenue to token demand
Ether.fi's governance previously approved a treasury program authorizing as much as $50 million in ETHFI purchases while the token trades below $3. The latest product structure extends that connection by directing revenue generated across all product lines toward automatic ETHFI buybacks, distributed to staked holders.
Large-holder activity has added another layer to the rally. One whale withdrew roughly five million ETHFI, worth about $1.93 million, from Binance, while other large holders accumulated ETHFI through CoW Protocol. Exchange withdrawals do not by themselves prove long-term holding, but moving tokens away from centralized exchange liquidity can reduce the amount immediately available for sale.
Technical levels in focus after multi-month breakout
At roughly $0.514 at the time of analysis, ETHFI traded above the 50-day SMA at $0.409, the 100-day SMA near $0.386, and the 200-day SMA around $0.433. The 200-day average is particularly significant because ETHFI had spent several months below it.
The daily MACD line had risen to roughly 0.0198 against a signal line near 0.0051, with the histogram expanding into positive territory around 0.0147. A rising positive histogram combined with the MACD line moving further above its signal line shows bullish momentum has accelerated.
The four-hour chart shows a similar bullish reading but also flags short-term risk. The four-hour RSI was around 74.6, above the conventional 70 overbought threshold, while the Supertrend had moved up to approximately $0.466. As long as price stays above that level, the short-term trend structure favors buyers.
On the downside, the four-hour Supertrend around $0.466-$0.47 provides the first support area. A deeper decline would bring the daily 200-day SMA around $0.433 back into focus, with the 50-day SMA near $0.409 as the next level.
The buyback-revenue link gives ETHFI a token-specific driver that most altcoins lack, but the mechanism only works if product usage translates into meaningful protocol revenue. If the Summer upgrade fails to drive sustained adoption, the breakout could prove short-lived, with the 200-day SMA at $0.433 as the key line in the sand.
This article is for informational purposes only and does not constitute investment advice.
