Ethereum, the second-largest cryptocurrency by market cap, has experienced a rollercoaster ride in recent months. Despite its recent lackluster performance, many analysts still believe that Ethereum is poised to surpass the $3,000 mark by 2024. The big question, however, is not if, but when this will happen.
Like much of the cryptocurrency market, Ethereum has faced increased volatility, leading to a significant drop in its value. August has been particularly tough, with the cryptocurrency falling by over 22.90% in the past 30 days, according to Coinmarketcap. As of now, Ethereum is trading just above $2,440, following a more than 2% drop over the past 24 hours.
One of the major catalysts that could propel Ethereum towards the $3,000 mark is the anticipated launch of the Spot Ethereum ETF later this year. This would be the second crypto-based ETF in the United States, following the success of Bitcoin’s ETF. While Bitcoin’s ETF has had a mixed impact, the introduction of a Spot Ethereum ETF could bring significant changes to the asset’s value.
For Ethereum to reach $3,000, it needs to overcome the critical $2,700 resistance level. Breaking through this barrier could open the doors for a rally to $3,000, but the timeline remains uncertain.
Crypto analyst Poseidon recently shared their bullish outlook on X (formerly Twitter), stating, “Followed the plan, and my longs filled sub $2500. The price tested daily demand, cleaned equal lows and reclaimed back above it. Still early to talk but everything is looking good to send it above $3k.”
$ETH H1
Followed the plan, and my longs filled sub $2500. The price tested daily demand, cleaned equal lows and reclaimed back above it. Still early to talk but everything is looking good to send it above $3k. https://t.co/RwS7ykOds5 pic.twitter.com/x92iEPSYQK
— Poseidon (@CryptoPoseidonn) August 28, 2024
Similarly, analyst Elja Boom expressed optimism, noting that Ethereum is currently “trading in a certain range,” which they describe as a “boring phase.” However, Boom believes that this phase is setting the stage for a breakout, potentially leading to a $3,000 rally in October 2024.
While Ethereum’s journey to $3,000 is not guaranteed, the possibility remains strong, especially with the potential impact of the Spot Ethereum ETF and overcoming the $2,700 resistance level. Investors and traders will need to keep a close eye on market developments in the coming months as Ethereum prepares for what could be a significant rally in 2024.
