Ethereum poised for record highs in Q1 2025, analysts predict

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As a seasoned analyst with over two decades of experience in the financial markets, I have seen countless bull runs and bear markets, and the current state of the cryptocurrency market is no exception. The prediction that Ether could potentially surpass its previous all-time high during Q1 2025 piques my interest, considering Ether’s struggle to maintain its $4,000 psychological threshold despite Bitcoin breaching the historic $100,000 mark.

There’s a possibility that Ether might reach new record levels by the end of Q1 2025, as suggested by financial experts.

Even though Bitcoin reached an unprecedented high of $100,000 on December 6 for the first time in cryptocurrency history, Ether has struggled to stay above the significant $4,000 level.

It’s possible that Ether could begin matching Bitcoin’s growth, as the recent cryptocurrency market deleveraging suggests a shift in highly-leveraged long positions, based on a report from Bybit and Block Scholes.

In simpler terms, a decrease in the use of borrowed funds (leverage) could potentially lead Ether to reach a record-breaking peak in the first quarter of next year. According to Bybit analysts, there’s an expectation for “a new all-time high in Q1 2025.” Furthermore, they noted that Ether is displaying robust performance in derivative markets as the price increase is becoming increasingly likely.

For the year 2024, it appears that Bitcoin has emerged as the more profitable investment choice. In the previous six months, Bitcoin’s value increased by approximately 54%, whereas Ether yielded a 12% return on investment, according to CryptoMoon data.

Ether to catch up to Bitcoin’s gains, as analysts eye $8,800 ETH price

As an analyst, I’m observing a potential setup for a bullish move in Ether, possibly surging above $8,800. This optimistic outlook is derived from the ascending triangle pattern that appears on the daily chart – a technical formation often indicative of the continuation of an uptrend.

As an analyst, I’ve observed that for Ether to reach its all-time high (ATH) level at $4,865, it must first surpass the crucial resistance level of approximately $4,100. In my viewpoint, a break above this threshold could potentially trigger further growth. At present, I am maintaining my position in ETH, with a target price of $8,800.

According to past patterns between Ether and the Bitcoin halving cycle, it’s possible that Ether might overtake some of Bitcoin’s momentum by December.

As a cryptocurrency analyst, I’ve observed that, after every Bitcoin halving event, Ethereum has not outperformed Bitcoin in terms of value against it for a maximum duration of eight months. However, this underperformance is usually short-lived, as Ethereum eventually surges significantly against Bitcoin.

“We are in the 8th month now. Right on track. Then ETH/BTC Ratio since halving goes to no less than 700% after, which for this cycle means ETH/BTC = 0.39”

One indicator pointing towards increasing investor enthusiasm for Ether is the large number of new digital wallets being generated.

During the month of December, on average more than 130,000 new Ethereum wallets were created each day – a figure not seen since April for over eight months, as indicated by market data from Santiment.

Nevertheless, some seasoned players in the crypto market seem to have less ambitious projections. For instance, VanEck anticipates that the peak price of Ether could reach $6,000 by 2025, and Bitcoin‘s price might soar as high as $180,000 during the same period.

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2024-12-14 14:25