Ethereum
Ethereum’s Road to $7,500 – Analysts Predict a 120% Upside as…
- ETH could rebound 120% by the end of the current market cycle
- ETH ETF Launch Could Catalyze Rally and Relative Strength Against BTC
Ethereum [ETH] could post triple-digit gains by the end of the current market bull run, according to the founders of blockchain data intelligence firm Glassnode.
The founders, Jan Happel and Yann Allemann, who use the pseudonym Negentropic on X (formerly Twitter), claims that based on historical trends, ETH could reach $7,500 on the charts.
“We believe the market is moving in structures. And this structure gives us a target of around 7,500 as a final top for #ETH.”
Source: X/Néguentropic
Negentropic made its conclusions based on the ETH price reaction to multi-year trendline resistance. Trendline resistance marked the highs of the previous cycle.
Additionally, prior to ETH’s latest explosive cycle, a price consolidation ensued, similar to the structure seen on the chart in relation to the current price action (yellow).
Will ETF Catalyze ETH’s Potential 120% Rally?
The founders had previously underlines ETH’s Growing Relative Strength Against Bitcoin [BTC] and the rest of the market. They cited the upcoming launch of the ETH ETF as a key reason and possible catalyst for a new ETH cycle.
“In a market dominated by Bitcoin, Ethereum is showing relative strength. Speculation about an imminent ETF launch could be the catalyst. Is this the start of a new cycle? »
Source: X/Néguentropic
Despite ETH’s relative strength improving against BTC and the rest of the market, the ETHBTC ratio has remained stuck in a downtrend. The ETHBTC ratio tracks the relative performance of ETH versus BTC on price charts.
However, another analyst, TechCharts, note that ETH could confirm BTC’s outperformance if it breaks out of its downtrend.
“$ETHBTC outlook is improving for $ETH. Breakout from the downtrend channel may support $ETH outperformance.
Source: X/TechCharts
The launch of the ETH ETF could further define the trend of the ETHBTC ratio. In fact, according to SEC Chairman Gary Gensler, approval and launch could happen sometime this summer, perhaps in July.
Similar expectations were reflected in Polymarket also a prediction platform. It revealed that the chances of approval by early July were over 70%. It is worth noting here that ETFs are estimated to attract $15 billion in flows by 2025 by Bitwise.
At the time of writing, ETH was trading at $3.4k, with a bearish trend. readings derivatives market. Overall volume was down 18% and open interest (OI), which tracks liquidity, fell 3% over the past 24 hours.