Ethereum
Top Trader’s Ethereum Price Prediction Targets All-Time Highs in 2025
Prominent cryptocurrency trader smileycapital raises the bar for Ether (CRYPTO: ETH) price forecasts following the long awaited Ethereum spot ETF approved.
What happened: While the market awaits a definitive breakout, smileycapital broad outlines a short-term bullish outlook with a target of $9,000, highlighting several key factors.
The trader makes comparisons with Bitcoin(CRYPTO: BTC) performance following its approval by the ETF.
From October to March, Bitcoin rose from $30,000 to $74,000, an increase of approximately 150%.
Applying a similar trajectory to Ethereum, he notes, could imply a target of around $7,500 from the $3,000 level seen. when the first news broke.
Taking into account market conditions and speculative behavior, it suggests a potential peak of $9,500 for ETH.
Differences in market conditions
However, smileycapital points out that Ethereum’s current market conditions differ significantly from those of Bitcoin during its ETF approval period.
Bitcoin benefited from a longer speculative phase, lasting three months before actual approval, which allowed for substantial price growth.
In contrast, Ethereum’s speculative period was much shorter, leading to a 30% rally followed by a reflection phase.
Read also: SEC Approval of Ethereum ETFs Is Evidence of ‘Profound Shift’ in Crypto Adoption: Report
“ETH does not have the appearance of pure speculation,” notes smileycapital, emphasizing the importance of speculation in price developments.
He also mentions the seasonal slowdown in market participation over the summer, which could affect Ethereum’s near-term price dynamics.
Long-term outlook
Following its approval, Bitcoin saw aggressive inflows for approximately 2.5 months, driven by increased global liquidity and retail FOMO (Fear of Missing Out), which propelled it to new all-time highs.
Smileycapital suggests that a similar pattern could occur for Ethereum, particularly if institutional funds and participants pursue ETH following the success of the Bitcoin ETF.
However, he cautions against moderating expectations given the current phase of the market and potential seasonal impacts.
Despite a cautious short-term outlook, smileycapital remains optimistic about Ethereum’s long-term prospects, targeting $12,000-$16,000 with a 0.12 ratio to Bitcoin.
He believes the approval of Ethereum ETFs cements the asset’s role as an institutional vehicle, paving the way for significant industry ramifications and potential upside in the fourth quarter of 2024 and the first half of 2025.
Look forward to
Ethereum’s path to $9,000 in the near term is influenced by a mix of speculative behavior, market conditions, and institutional inflows.
As the market adapts to these dynamics, investors and industry leaders can get more insights from Benzinga. The future of digital assets event on November 19.
Read next: With Ethereum ETFs Approved, Why Isn’t ETH Rising?
Image: Shutterstock
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you’ll also receive the ultimate morning update from Benzinga AND a free $30+ gift card!
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.