Citigroup Predicts Ethereum to Drop to $4,300 by Year-End 2025

The recent decline in Ethereum's price has led to predictions of further drops. Citigroup projects Ethereum might fall to $4,300 by the end of 2025. Currently, ETH trades at $4,515.24, following a decline from a high of $4,700.

Price Analysis

  • Citigroup analysts highlight network activity as a key value driver, with growth attributed to Layer-2 solutions.
  • The coin's overvaluation may be due to strong inflows and excitement around stablecoins and tokenization.
  • Potential scenarios include a bear case of $2,200 and a bull case of $6,400.
  • Selling pressure and profit booking contribute to the price drop.

Market Sentiments

  • Technical analysis suggests risks, but some analysts view $4,800-$4,880 as a resistance zone for upward movement.
  • A failure to maintain above $4,500 could lead to retesting $4,000-$4,100 levels.

Future Prospects

  • A breakout could occur if ETH closes above $4,880, potentially leading to new momentum.
  • Institutional demand plays a crucial role, with BitMine Immersion Technologies recently acquiring $200 million worth of ETH.