Ethereum (ETH), the second-largest cryptocurrency by market capitalization, is generating buzz among investors and analysts as it signals a potential rally to new all-time highs. Currently priced at $3,913, Ethereum would need to climb 24.66% to surpass its November 2021 peak of $4,878. The recent market sentiment suggests that this ambitious target may be within reach as early as next week.
Market Optimism Fueled by Structural Changes
Ryan Adams, host of the popular Bankless podcast, recently took to X (formerly Twitter), stating that Ethereum might achieve a fresh all-time high within seven days. His optimism is shared by other prominent analysts. Pentoshi, a renowned crypto market observer, highlighted Ethereum’s recent “highest weekly close of the year” as a critical milestone. According to Pentoshi, the absence of significant resistance on the path to $4,878 creates a “magnetic pull” toward that level. He also emphasized the consistent inflows of funds from Ethereum exchange-traded funds (ETFs), indicating growing institutional interest.
eth ath next wk could happen
— RYAN SΞAN ADAMS – rsa.eth 🦄 (@RyanSAdams) December 9, 2024
Poseidon, another respected crypto trader, pointed to Ethereum’s long-term chart, which suggests a breakout from a four-year, 1,460-day range. Such a move could propel the cryptocurrency into a period of sustained gains, potentially exceeding current market expectations.
Bullish Technical Patterns Signal Further Gains
Adding to the excitement, Analy Venture Founder identified a “massive cup and handle formation” in Ethereum’s chart. This classic bullish pattern has been forming since November 2021 and signals the potential for a substantial price increase. The analyst noted that a weekly close above $4,000 confirms this formation, with key resistance levels at $4,900, $5,349, $6,457, and even $7,238.
The founder predicts Ethereum could reach $5,349 as an “easy target” if it breaks above its previous all-time high, while more ambitious bullish projections place Ethereum’s price above $7,000 by the end of Q1 2025.
ETH/BTC Pairing Poised for Recovery
Ethereum’s comparative performance against Bitcoin (BTC) is also showing signs of strength. Benjamin Cowen, founder of Into The Cryptoverse, noted that Ethereum’s underperformance against Bitcoin may be ending. He forecasts gains for the ETH/BTC pair over the next six to twelve months, potentially boosting Ethereum’s market dominance.
Also Read: Ethereum (ETH) Breaks $4K: Bullish Surge Fueled by ETFs, Layer 2 Growth, and Dencun Upgrade
As Ethereum consolidates above $4,000, analysts are increasingly optimistic about its short-term and long-term prospects. With structural changes, bullish technical patterns, and growing institutional interest, Ethereum could be on the cusp of breaking its previous all-time high and entering a new phase of growth. Whether it achieves this milestone in the coming week or months, the cryptocurrency is undoubtedly a key player to watch.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
About The Author
