Ethereum Will Drop Before The Next Leg Up – Analyst Sets Target

by

As a crypto investor, I’m observing that Ethereum is currently trading below its peaks from last year, leaving us all on tenterhooks for a significant breakout to signal the beginning of the eagerly anticipated Altseason. Despite Ether’s relatively calm price movements as of late, there’s a palpable sense of optimism among traders about its capacity to deliver outstanding returns in 2025. This optimism is rooted in Ethereum’s historical market cycles and the generally bullish atmosphere pervading the crypto market.

Analyst Carl Runefelt has given his take on X, pointing out that ETH is presently moving within an increasing trend line. This pattern indicates a potential temporary dip before Ethereum picks up speed for its upcoming surge higher. Runefelt’s findings echo the cautious optimism in the market, as traders keep tabs on significant support and resistance points to spot any breakout signs.

In the upcoming period, Ethereum faces crucial moments as it strives to regain its peak levels and strengthen its influence in the crypto market. A surge might hint at the onset of a wider rally among alternative coins, reinforcing ETH’s role as a key player in the Altseason storyline. For now, investors and speculators are keeping a keen eye on Ethereum’s price fluctuations and technical markers, readying themselves for what may be a significant year for the second-largest digital currency.

The Ethereum Path Into 2025: Optimism Amid Consolidation

2024 was a lackluster year for Ethereum, falling short of Bitcoin‘s performance and failing to spark the early Altseason as anticipated. Yet, several analysts foresee a drastic improvement this year. Traditionally, years following halvings have been prosperous for altcoins, and Ethereum seems poised to capitalize on this pattern. There’s growing excitement that ETH will make a spectacular comeback in 2025, resulting in substantial returns.

Analyst Carl Runefelt has just provided insights on the price pattern of asset X, focusing specifically on the trend of Ethereum (ETH). As per Runefelt’s analysis, at present, ETH is moving along an upward-sloping channel following a successful hit of its previous mark.

As an analyst, I’m observing a pattern that typically indicates a bullish continuation in Ethereum. However, it’s crucial to note that there’s also a potential risk of a short-term downturn. Runefelt suggests that if Ethereum were to lose its current position, it might revisit the $3,500 level before resuming its upward trend. This potential dip, according to him, could pave the way for Ethereum’s next significant rally.

Restoring previous peak levels will be important for Ethereum, as it would strengthen its status as a market frontrunner and boost trust among traders and investors. The wider cryptocurrency industry is preparing for what many predict will be a significant 2025, with Ethereum poised to lead the charge in a potential altcoin comeback. Regardless of whether ETH surges ahead or experiences temporary setbacks, this year could shape its course for years to come.

Technical Analysis: Price Consolidation

At present, Ethereum is gathering strength around the $3,650 mark following a decisive surge surpassing the 4-hour 200 moving average at $3,629. This surge indicates a significant shift in bullish sentiment over the short term. Maintaining the 4-hour 200 moving average as a support could indicate robust price stability, providing Ethereum with a solid base to potentially climb higher in the near future.

Nevertheless, the market continues to exhibit caution. If Ethereum can’t maintain this crucial sign, its price might drop towards less active zones. A return to the $3,500 region would then seem plausible. This point has been a focal area for traders and could serve as a foundation for another possible recovery surge.

In the upcoming trades, it’s essential to see if Ethereum can continue its current surge or if a decline is imminent. If the price consistently stays above $3,629, this suggests robust demand and could lead to an attempt at higher resistance points. However, should the price fall below this level, it might result in a period of stability or even further decrease, challenging Ethereum’s bullish trend.

Read More

2025-01-08 07:37