In the past three weeks, Ethereum’s native token, Ether (ETH), has demonstrated a steady and slow ascent, increasing by 28% since November 18th. Despite a brief flash crash to $3,615 on December 5th, ETH rebounded swiftly and currently trades above $4,000. This remarkable growth has sparked interest among traders and analysts, who are now speculating about the altcoin’s future trajectory.
A Higher High and Higher Low Trend
Ethereum’s four-hour chart reveals a clear trend of higher highs and higher lows, indicating a steady upward momentum. The chart also displays a relatively healthy Relative Strength Index (RSI), which is currently below the overbought region. This suggests that ETH is not yet in an overbought state, leaving room for further growth.
Paradigm Shift Ahead?
As Ethereum approaches the $4,000 mark, venture founder and anonymous crypto analyst has set higher targets for 2025. The analyst explains that Ethereum is consolidating within a three-year ascending triangle pattern, which may signal an impending "paradigm shift." This phenomenon would allow ETH to break through its current resistance level and shoot towards new all-time highs.
A $16,000 ETH: A New Milestone
According to the analyst’s predictions, Ethereum is likely to repeat its impulsive breakout from 2016-2017, reaching a price target of $15,937 by May 2025. This would result in a total market capitalization above $1 trillion for the first time in history.
Closing Weekly Candle with Support
However, the analyst notes that ETH must close its weekly candle with support at $3,800 to increase the probability of retesting its all-time high at $4,878 or achieving its immediate price target. This crucial step would provide a clear indication of the altcoin’s resilience and ability to overcome current resistance levels.
The Golden Cross: A Bullish Signal
Independent crypto trader Honey has also pointed out that Ether’s "golden cross" on the 1-day chart is breaking out according to previous bull markets. The trader believes that ETH is in the early stages of a "giga pump," which will propel the altcoin towards new all-time highs.
Ethereum Spot ETFs Gain Momentum
In related news, Ethereum spot ETFs are gaining traction among institutions, with Cointelegraph reporting that these financial instruments have witnessed their largest daily inflows since launch. The total value of ETH ETF flows has exceeded $1.3 billion since November 18th.
BlackRock’s iShares Ethereum Trust Leads the Charge
Spot Ether ETFs have attracted significant attention from BlackRock, with the company’s iShares Ethereum Trust leading the charge. The trust has recorded over $500 million in inflows this week alone, taking its total inflows to $2.6 billion.
Ethereum DeFi Metrics Improve
Data from DefiLlama highlights that the total value locked on Ethereum’s chain reached a new yearly high of $77 billion on December 5th. This increase in DeFi activity suggests that ETH is gaining traction and confidence among investors and traders alike.
The Analyst’s Verdict: A New Era for Ethereum
As Ethereum approaches the $4,000 mark, it is clear that this altcoin is on the verge of a significant paradigm shift. With a steady and slow rise in recent weeks, coupled with improving DeFi metrics and spot ETF inflows, ETH is poised to break through its current resistance level.
Disclaimer:
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
In conclusion, Ethereum’s resilient rise above $4,000 has sparked interest among traders and analysts, who are now speculating about the altcoin’s future trajectory. With a higher high and higher low trend in its 4-hour chart, ETH is demonstrating a steady upward momentum. As the market continues to evolve, it remains to be seen whether Ethereum will break through its current resistance level and achieve new all-time highs.
Related Articles:
- Anchorage Digital to Support Liquid Ether Staking
- Analyst Says ETH/BTC ‘Collapse Is Over’ as Ether Reclaims $3.8K
Investor’s Note:
As with any investment or trading move, it is essential to conduct thorough research and consult with a financial advisor before making a decision. The content of this article should not be considered as professional advice or recommendations.
Table of Contents
- Ethereum’s Resilient Rise: A Paradigm Shift Above $4,000?
References
- Cointelegraph: "Ethereum hints ‘paradigm shift’ above $4,000"
- DefiLlama: Total Value Locked (TVL) on Ethereum
- BlackRock’s iShares Ethereum Trust: Press Release
