Ethereums Year-End Surge in Doubt: Analyst Sees Slim Chances for New Highs
Ethereum, th scond-lrgst cryptocurrncy, is fcing criticl momnt. Whil som trdrs rmin optimistic bout pric surg, prominnt nlyst wrns tht rching nw ll-tim highs by th nd of 2024 is unlikly.
Nick Forstr, foundr of th crypto drivtivs pltform Driv nd formr Wll Strt trdr, ttributs Ethereums wk prformnc to lck of complling nrrtiv. Unlik tchnology stocks, which hv drwn considrbl intrst, Ethrum hs not sprkd th sm nthusism mong invstors. Right now, Ethrum is struggling with lck of strong nrrtiv to driv its pric, Forstr notd.
Th rcnt lunch of Ethereum xchng-trdd funds (ETFs) drw significnt ttntion from Wll Strt. Howvr, it lso st th cryptocurrncy ginst top-prforming tch stocks with strongr rvnus nd vlutions, ccording to Forstr.
Ethr hs only risn by 0.43% sinc Jnury 1, sitting nr $2,376 t th tim of writing. In contrst, mjor tch stocks lik Nvidi nd Mt Pltforms hv surgd, with Nvidi climbing 122.57% nd Mt gining 49.26%, bsd on Googl Finnc dt for th sm priod.
Scenarios Affecting Ethereums Price
Forstr hs ssssd tht Ethereum surpssing its currnt ll-tim high of $4,878 by th nd of th yr rmins possibl, but not highly likly, stimting only 10% chnc. This forcst hings on thr improbbl scnrios: Donld Trump winning th U.S. prsidntil lction, significnt rt cuts by th Fdrl Rsrv, nd n incrs in globl finncil liquidity.
Howvr, crypto trdr Zn wrns tht Fdrl Rsrv rt cut lon might not b nough to driv Ethrums pric upwrd. Zn xplins tht lowr-thn-xpctd rt cut could hv dvrs ffcts, stting tht th mrkt hs lrdy fctord in 50-bsis-point cut. A 25-bsis-point cut could b prcivd ngtivly.
Notbly, Forstr viws potntil Trump victory s th most significnt vnt for Ethereum, vn mor impctful thn ETF pprovl. H nticipts tht this could ld to incrsd voltility round th lction, projcting potntil pric swing of 1015% on tht dy.
This voltility mts trdrs xpcttions for lrgr pric fluctutions in Ethrum, comprd to rcnt trnds. Forstr nots tht dily pric movmnts hv usully rngd btwn 2.5% nd 3%, but th mrkt now nticipts dily chngs nring 3.5%.
Dspit ths uncrtintis, som trdrs rmin optimistic. Titn of Crypto blivs Ethrum (ETH) is poisd for pric incrs. H points to th Rltiv Strngth Indx (RSI) on th 3-dy chrt, which is currntly nr ovrsold trritory. Historiclly, whn th RSI rchs this lvl, ETH oftn xprincs rlly or short-trm pric surg.
In ddition, trdr Yoddh is confidnt tht Ethereum will soon rch fiv figurs. Crypto Jck lso obsrvs tht th currnt pric is nring ky long-trm support lvl round $2.2k. A rbound from this lvl could indict th strt of strong bullish trnd for Ethrum.
Related Readings | Uniswap in Hot Water: CFTC Orders $175k Penalty
Read more: https://www.tronweekly.com/ethereums-year-end-surge-in-doubt/
Text source: TronWeekly
