Ethereum (ETH), like most of the cryptocurrency market, has been on an uptrend since the start of 2023 but continues to show signs of outperforming its competitors and rallying all the way to $2,000. But what conditions are needed for the bull run?
Ethereum (ETH) Closes in on $1,700
Contrary to what many analysts predicted, the 25 bps interest rate hike at the FOMC meeting benefited the crypto market, with the price of the Ether jumping by more than 7% in 24 hours.
The 24-hour price chart for Ethereum (ETH). Source: CoinMarketCap
ETH has hit interday trading highs of $1,689, price levels last seen in September 2022. Since the start of the year, Ethereum has gained 39.42%. At this pace, is $2k possible for the leading decentralized blockchain platform?
The year-to-date price chart for Ethereum (ETH). Source: CoinMarketCap
Ether Could Rally All the Way to $2,000
President of Sierra Alpha Research, David Keller, while expressing his bullish optimism about Ethereum explained that the biggest block on Ethereum’s journey to $2k is the resistance at $1,700.
According to Keller, if ETH manages to break above this level, then the part to $2,000 would be clear. He explained:
Certainly an impressive run for #Ethereum with $ETHUSD up about 60% from the June 2022 low. You know what would be *really* impressive? A follow-through above resistance at 1700, which could clear the way to 2K and beyond. h/t @crypto_birb great to meet you yesterday! pic.twitter.com/tykI09TSUO— David Keller, CMT (@DKellerCMT) February 1, 2023
While $1,700 is just a push away, investors have reasons to be optimistic. With the testnet for the much-anticipated Shanghai upgrade expected to be delivered next month, there is hope that Ethereum could be on its way to reclaiming the $2,000 mark.
On the Flipside
- While all points toward the uptrend continuing, if the short-term bullish outlook is invalidated, we should expect the price of ETH to fall below $1,512.
Why You Should Care
Ethereum looks billed to outperform the already bullish crypto market, as several factors align in favor of the leading decentralized blockchain ecosystem.
Read more on the Shanghai upgrade below:
Shanghai Anticipation Builds as Ethereum Surpasses 500,000 Validators
The increase in Ethereum’s activity is covered in:
Ethereum (ETH) Blockchain Developer Numbers Record 5x Increase