Ethereum Forecast: ETH Hits $4,100 After Kerrisdale Capital Shorts BitMine - What’s Next for the Bull Run?

Ethereum's rollercoaster continues as institutional moves shake the market. Kerrisdale Capital's latest short position against BitMine sends ETH tumbling to $4,100 - but seasoned traders see this as another buying opportunity in disguise.

The Big Short Play

When Kerrisdale Capital announced their short position on BitMine, the crypto markets reacted instantly. Ethereum, sitting pretty near recent highs, got caught in the crossfire. The sell-off pushed ETH down to $4,100, creating exactly the kind of volatility that makes traditional finance guys clutch their pearls while crypto natives load up their bags.

Institutional Games Meet Crypto Resilience

Here's the beautiful irony: these short attacks that used to crush stocks barely leave a scratch on major cryptos. Ethereum's network activity continues growing, DeFi TVL keeps climbing, and the fundamentals remain stronger than ever. It's almost like the market finally understands that real utility can't be shorted into oblivion.

Where From Here?

The $4,100 level represents a key support zone that's held through multiple tests. With staking yields attractive and institutional adoption accelerating, this dip looks more like a gift than a crisis. Typical Wall Street trying to apply old rules to a new game - meanwhile, the ETH ecosystem just keeps building through the noise.

TLDR

• Fundstrat expects Ether to bottom out near $4,200 before starting a strong rally.
• Mark Newton believes the current three-wave pullback in Ether will end within one to two days.
• Ether could reach $5,500 after finding support if current market conditions hold steady.
• Analysts highlight that institutional accumulation of Ether continues to increase.
• Ethereum remains in a strong technical setup despite recent short-term price weakness.

Ether may soon resume its upward trend, according to Fundstrat’s Mark Newton. The asset has seen a short-term decline. However, experts suggest that this pullback could end within the next 48 hours, paving the way for a potential rally.

Ether Poised for Bounce After Brief Correction

Fundstrat Global Advisors managing director Mark Newton believes Ether is close to finding short-term support. He noted that Ether’s recent dip followed a “minor three-wave pullback.” Newton expects this correction to end over the weekend.

Crypto savant @MarkNewtonCMT at it again:

"I do not make much of crypto weakness in recent days, and expect $ETHUSD likely bottoms out over the next 1-2 days before heading back higher and rallies to $5500.  

– Following a recent strong technical rally from 9/25 into 10/7 in… pic.twitter.com/LCQDtGpDXs

— Thomas (Tom) Lee (not drummer) FSInsight.com (@fundstrat) October 9, 2025

He stated, “I do not make much of crypto weakness in recent days.” According to him, Ether could fall NEAR $4,200 before rebounding. He said this level may serve as an “optimal area of support” for buyers.

Ether reached a high of $4,750 earlier this week before dropping below $4,300 on Thursday evening. It later bounced near $4,400 during early trading on Friday. Despite the fluctuations, Newton remains confident in a near-term upward move.

Analysts Expect Ether Rally Toward $5,500

Tom Lee of BitMine, who also advises Fundstrat, shared Newton’s outlook on Thursday. Lee reiterated that Ether remains well-positioned to climb after this minor decline. He supported Newton’s projection of a $5,500 target in the coming weeks.

Benjamin Cowen, another crypto analyst, pointed to Ether’s

“choppy price action.” He expects sideways movement until the “bull market support band catches up.” That process may extend over several more weeks.

I think ethereum continues this choppy price action until the bull market support band catches up.

Could take many more weeks. pic.twitter.com/sPhfEB87NL

— Benjamin Cowen (@intocryptoverse) October 9, 2025

Meanwhile, CoinW’s chief strategy officer, Nassar Achkar, expressed Optimism about Ether’s long-term prospects. He linked a potential macroeconomic shift to an increased chance of Ether hitting new highs.

Institutional Accumulation of Ether Grows

Ethereum’s strategic importance continues to rise among major institutional holders. Grayscale has recently staked hundreds of millions worth of Ether on the Beacon Chain. Arkham Intelligence reported this accumulation over the past few days.

SharpLink Gaming holds 838,730 ETH, currently valued at over $3.6 billion. Co-CEO Joseph Chalom remarked, “Ethereum is quietly becoming the foundation of global finance.” He emphasized its role as a structural pillar for the next financial system.

Tom Lee’s BitMine added 23,823 ETH, worth $103 million, to its treasury late Thursday. This ongoing accumulation supports bullish long-term sentiment. Ether remains central to these institutional strategies.

Ether currently trades in a narrow range after breaking $4,000 in August. But technical and macro indicators suggest that a rally may soon follow. Fundstrat and other analysts maintain confidence in a MOVE toward $5,500.