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bitcoin
Bitcoin (BITCOIN)
$117,980 3.93%
ethereum
Ethereum (ETHEREUM)
$3,003 6.49%
binancecoin
BNB (BINANCECOIN)
$694.16 2.56%
solana
Solana (SOLANA)
$164.36 2.84%
ripple
XRP (RIPPLE)
$2.84 13.28%
shiba-inu
Shiba Inu (SHIBA-INU)
$0.000014 7.66%
pepe
Pepe (PEPE)
$0.000013 11.50%
bonk
Bonk (BONK)
$0.000023 2.08%
bitcoin
Bitcoin (BITCOIN)
$117,980 3.93%
ethereum
Ethereum (ETHEREUM)
$3,003 6.49%
binancecoin
BNB (BINANCECOIN)
$694.16 2.56%
solana
Solana (SOLANA)
$164.36 2.84%
ripple
XRP (RIPPLE)
$2.84 13.28%
shiba-inu
Shiba Inu (SHIBA-INU)
$0.000014 7.66%
pepe
Pepe (PEPE)
$0.000013 11.50%
bonk
Bonk (BONK)
$0.000023 2.08%
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Ethereum Price Forecast – ETH Eyes $4000 as Major Resistance Broken

Highlights:

  • Ethereum is trending towards $4000 after breaching $2555.4 resistance
  • Rally through resistance puts $4000 Ether in focus
  • Rising institutional demand could help push Ethereum to $4000 and higher

Today, Ethereum (ETH) has blasted back through the $3000 price level. This has reignited hopes that a retest of its all-time highs of $4800 could be in the cards. Ethereum was trading at $3003.35 when going to press, up by 7.79% in the day. Ethereum trading volumes are also rising. 

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They currently stand at $41.84 billion, up 38.41% on the day. Such a volume surge signals that money is flowing into Ethereum as the average investor anticipates even higher prices in the future. A couple of factors support the growing bullish perception of Ethereum. 

Bitcoin Price Action Likely to Push Ethereum Price Higher

One of them is Bitcoin’s price action. Bitcoin is currently making new highs and could be on its way to $200k. This has reignited hopes that the 2024/24 bull cycle is still on course after the last few months created doubts. The result is that investors are now pivoting into altcoins to maximise returns, as happens in all bull cycles. Usually, Ethereum pumps first alongside other large-cap altcoins before parabolic price moves happen for the smaller altcoins.

As such, Ethereum is benefiting heavily from the rotation into altcoins, a move that could push it back to its all-time highs and make new highs. Expectations are high because institutional money now has easy access to Ethereum through ETFs, unlike in previous bull cycles. This could push Ethereum to new all-time highs in the foreseeable future as capital flows strongly into the cryptocurrency market. 

Macro Environment Makes the Case for Ether Retesting All-Time Highs

Besides Bitcoin’s price action, the macro environment is making the bullish case for Ethereum even stronger. One of these factors is the regulatory environment, particularly in the US. Since Trump came into power, the SEC has become increasingly pro-crypto and has instituted several pro-crypto regulations. One of those expected to push Ethereum to new levels is the potential approval of Ethereum staking ETFs. Already, the SEC seems to be moving closer to this, and it could trigger a massive flow of capital into Ethereum.

That’s because Ethereum allows investors to earn passive income through staking. There is also the growing speculation that, after avoiding it for so long, the Fed is about to start cutting rates. Consensus is growing that rate cuts could begin as early as September. Since rate cuts usually usher in a risk-on sentiment in the market, investors could continue to pivot to Ethereum and other cryptocurrencies. That’s because they offer a potentially higher rate of return on investment than conventional risk-on assets such as stocks. 

Institutional Demand for Ethereum Surging

Ethereum could also get a boost from the fact that institutional demand is on the rise. Recently, there has been a surge in Ethereum demand through ETFs, and it is only getting stronger. Case in point is the last 48 hours, where Ethereum ETFs recorded inflows of $800 million. This is twice the average that they record on other days. It indicates that institutional money flows heavily into Ether as the broader market starts flashing bullish signals. Demand from big money and retail FOMO could soon push Ethereum’s price to $4000 and higher.

Technical Analysis – Ethereum Price Breaks Out of Multi-Week Range

Like Bitcoin, Ethereum has finally broken out of a multi-week range. For weeks, it oscillated between the $2555.4 resistance and $2216.3 support.

ETH
Source: TradingView

With the strong breakout through the $2555.4 resistance, Ethereum could now be headed to $4007.5, the first significant resistance in the short term. A rally through this price level could see Ethereum test and rally through its all-time highs of $4800. 

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