ETH is currently stuck at $2973.44, repeatedly bouncing near the key round number. From a trading perspective, this price level actually offers a good opportunity for positioning.

**Trading setup:**
The comfortable buy zone is between $2850 and $3020, with a stop loss at $2720 below. On the upside, targets are set at $3200, $3650, and $4000.

**Why bullish?** Several key points cannot be ignored:

First, Ethereum consistently outperforms other platforms in developer count, DeFi lock-up scale, and user activity. As the main layer for on-chain settlement worldwide, this position is unlikely to be shaken in the short term.

Second, after the merge, shifting to proof of stake, combined with EIP-1559’s burn mechanism, makes ETH deflationary during network congestion. This dual characteristic of generating yields and scarcity attracts significant institutional investment.

The effects of the Dencun upgrade are also evident, with Layer 2 costs significantly reduced and ecosystem applications accelerating their explosion. This not only consolidates Ethereum’s value as a secure base layer but also lays a solid foundation for the entire ecosystem’s expansion.

**Of course, risks must also be considered:** Competition from other public chains is intensifying, and market environment changes can directly impact valuation. These are points to watch carefully.