Ethereum Surpasses $3,800 with 8% Price Increase in 24 Hours
Ethereum (ETH) has risen 8% in the last 24 hours, surpassing $3,800, indicating potential renewed interest in the second-largest cryptocurrency by market cap.
Is An ETH God Candle On The Horizon?
The increase in Ethereum's price coincides with a decline in Bitcoin (BTC) dominance, which measures Bitcoin's share of the total crypto market cap. BTC dominance dropped from 61.1% on November 20 to 54.9% currently. Trading firm QCP Capital noted that a drop below 58% could indicate the start of an altcoin season.
Analysts are evaluating how far ETH can rise. Crypto analyst @venturefounder pointed to a cup-and-handle pattern for ETH since November 2021 and suggested that breaking above $3,800 could lead to a price target of $7,346.
Crypto analyst Ali Martinez identified the $3,300 support level as a potential buying opportunity if ETH pulls back. He set mid-term and long-term targets for ETH at $6,000 and $10,000, respectively, noting the addition of over 134,000 new Ethereum addresses daily.
Another analyst, @MisterSpread, observed that if ETH exceeds $4,000, a significant price increase to $5,000 could follow, given its breakout from a three-year downtrend.
Ethereum Fundamentals Continue Getting Stronger
Despite BTC leading the current rally, experts suggest Ethereum is poised for growth due to favorable developments. Ethereum exchange-traded funds (ETFs) are attracting significant daily inflows, competing closely with BTC ETFs.
Proposed upgrades, such as Ethereum Improvement Proposal-7781 and a potential reduction in the ETH required for staking, may further drive ETH's price towards a new all-time high (ATH). However, concerns persist regarding the impact of increased inflation on ETH's 'ultrasound money' narrative. Currently, ETH trades at $3,820, reflecting an 8% increase in the past 24 hours.
