Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has made a significant comeback with a 29% surge over the past week, approaching all-time high (ATH) levels. Ethereum’s price performance has prompted Standard Chartered, one of the UK’s largest financial institutions, to significantly revise its price projections for the cryptocurrency. Ethereum Consolidates 4% Below All-Time Highs Currently, the Ethereum price is consolidating above the $4,600 level, which could serve as a crucial support point as if ETH breaks through its previous all-time high of $4,878 reached in 2021, it may enter a new phase of price discovery. Presently, a mere 4% gap separates Ethereum’s current price from that record, but analysts at Standard Chartered, led by Geoff Kendrick, are optimistic for a new bullish phase for the cryptocurrency. They forecast a bullish trend that could nearly double the Ethereum price by the end of the year, raising their year-end target from $4,000 to $7,500. Furthermore, they have set an ambitious 2028 target of $25,000 for ETH. Related Reading: The Grand Bitcoin Roadmap: Crypto Expert Says $160,000 Still In The Works Several key factors underlie this optimistic outlook. Firstly, the recent approval of Ethereum spot exchange-traded funds (ETFs) has led to significant market activity. Ethereum ETFs recently recorded $1 billion in inflows, marking the largest daily influx to date. Year-to-date, these exchange-traded funds tracking ETH’s price have attracted $8.2 billion, representing around 1.5% of Ethereum’s market capitalization. Additionally, legislative progress in the United States, particularly with the passage of the GENIUS Act and the CLARITY Act, has bolstered Ethereum’s prospects. These developments are expected to enhance liquidity in the Ethereum ecosystem, as a substantial portion of stablecoins—often considered a stealth bullish driver for ETH—are issued on the Ethereum blockchain. Currently, major stablecoins like USDC, issued by Circle (CRCL), and USDT, developed by Tether, primarily operate within Ethereum’s ecosystem, further supporting the altcoin’s price performance. Greater Impact From Institutional Investments Beyond these bullish developments, there is a growing trend among public companies adopting Ethereum treasury strategies similar to those employed by Strategy (formerly MicroStrategy) with Bitcoin (BTC). As reported by NewsBTC on Tuesday, approximately 865,000 ETH is now held by these companies, reflecting a broadening interest from institutional investors looking to capitalize on Ethereum’s long-term potential. Related Reading: Analyst Predicts XRP Price Crash Below $3, But There’s Good News Adding to the bullish sentiment, analyst VirtualBacon has shared forecasts suggesting that if Bitcoin approaches $150,000 and the ETH/BTC ratio rises to 0.044, Ethereum could reach prices between $6,000 and $7,000 this year. The analyst noted in a social media post on X (formerly Twitter), that Ethereum’s smaller market capitalization means that each dollar from institutional investors has a more pronounced effect on its price compared to Bitcoin. VirtualBacon identifies $3,350 as a potential floor for ETH, unless Bitcoin experiences a significant downturn. He emphasizes that the pivotal moment for Ethereum will be clearing the $4,850 resistance level, which could quickly propel ETH above $6,000. As of this writing, ETH trades at $4,636, registering a 4.3% surge in the 24-hour time frame. Featured image from DALL-E, chart from TradingView.com
The Ethereum market price rose by a net 3.16% in what proved to be another historic week for the crypto market as Bitcoin registered a new all-time high price. Notably, the prominent altcoin has largely benefited from the general market resurgence in the past month, resulting in a 44.69% price increase over this period. Interestingly, popular crypto analyst Ted Pillows has tipped Ethereum to maintain this positive performance based on a bullish chart pattern. Related Reading: Ethereum Net Flows Turn Negative As Bulls Push For $3,500 Potential ETH Breakout Pattern Hints At $3,000 Mark – Analyst In an X post on May 24, Ted Pillows shares that Ethereum’s price movement is forming an inverse head-and-shoulders pattern on the 12-hour daily trading chart, suggesting the altcoin may be due for a price breakout in the coming days. The inverse head-and-shoulders pattern is one of the classic bullish reversal patterns, signaling a potential change from a downtrend to an uptrend. Based on the Tradingview chart presented by Pillows, the left shoulder of this bullish formation of this bullish inverse head-and-shoulders pattern formed in February, when ETH sharply declined to around $2,000 before rebounding and entering a range-bound phase that persisted through the month. In the following months, ETH would register deeper price falls to trade as low as $1,400 in early April to form the head of this pattern. Since then, altcoin has staged a strong recovery, climbing to around $2,700, before entering another consolidation phase that now forms the right shoulder of the pattern. According to Ted Pillows’ analysis, the $2,700 price mark represents the neckline of this inverse head and shoulders pattern. ETH bulls must achieve a decisive close above this resistance level to confirm any potential break, a task that has proven tough following two successive rejections in the past few weeks. However, if Ethereum convincingly breaks out above $2,700, Pillows backs the altcoin to swiftly reach the $3,000 price mark, indicating a potential 17.4% on the current market price. Related Reading: Market Expert Projects ‘Undervalued’ Litecoin To Soar At Least 1,000% — Here’s How Ethereum Market Overview At the time of writing, Ethereum is trading at $2,500 after a 0.34% gain in the past day. Meanwhile, the asset’s daily trading volume is down by 58.22% and valued at $12.35 billion. According to on-chain analytics firm Sentora, the Ethereum blockchain also recorded a 23.9% decline in network fees over the past indicating a decline in transactions and general network use. Meanwhile, $74 million in ETH were deposited in exchanges, representing the first inflows in over four months. Nevertheless, Ethereum’s price has shown much resilience with no significant decline in response. Featured image from iStock, chart from Tradingview
Despite Ethereum (ETH) recently losing the critical $3,000 threshold due to broader cryptocurrency market corrections influenced by escalating regulatory tensions between the US and China, optimism for the leading altcoin persists. As of now, Ethereum has rebounded nearly 10%, trading just above $2,800, which places it above key support levels that could pave the way for new record highs in this bullish cycle. Critical $2,700 Level: Key For ETH’s Bullish Structure Throughout this market cycle, Ethereum has struggled compared to its peers. With a year-to-date (YTD) increase of only 21%, it has significantly lagged behind other cryptocurrencies like Solana (SOL) and XRP, which have recorded impressive gains of 120% and 420%, respectively. Despite this, crypto analyst Ali Martinez has pointed out that Ethereum must maintain the $2,750 support level to establish a foundation for a potential surge to $6,760. In another analysis, Martinez noted that if Ethereum forms a head-and-shoulders pattern—a common technical chart pattern—the altcoin needs to stay above $2,700 to preserve its bullish structure, with a target of reaching $7,000. This indicates that the $2,700 level is pivotal for Ethereum’s potential to achieve a new record high, suggesting a possible 150% increase if these scenarios materialize. Another analyst, known as Morecryptoonl, cautioned that the market lacks substantial structure at present, indicating that a break above the recent local low of $2,909 would signify a more stable price environment. He emphasized the importance of maintaining support above $2,236 for a more robust recovery. Trump Family Backs Ethereum Adding to the optimism, the Trump family has shown notable support for Ethereum. World Liberty Financial (WLFI) recently purchased an additional 1,826 ETH, amounting to approximately $5 million. According to Lookonchain data, with a total investment of 61,114 ETH for $205 million at an average price of $3,354, WLFI has sustained a loss of about $31 million on this position. Moreover, Trump’s crypto venture also transferred significant amounts of various cryptocurrencies, including 86,296 ETH ($235 million) and 647 WBTC ($65.5 million), to Coinbase Prime, indicating a strategic positioning within the crypto market. Further bolstering Ethereum’s prospects, recent ETF flows reveal a noteworthy trend: while approximately 2,400 BTC were sold on February 3, ETH exchange-traded funds (ETFs) saw net inflows of $83.6 million. This contrasts sharply with the $234.4 million in net outflows from Bitcoin ETFs, suggesting that institutional investors are increasingly confident in Ethereum’s future, despite recent price corrections. Trading at $2,819, ETH is down as much as 21% on a monthly basis, with a 42% gap to its all-time high of $4,878 reached during the 2021 bull run. Featured image from DALL-E, chart from TradingView.com