Ethereum (ETH) reached a price of $3,800; the further dynamics of its price will depend on a number of factors. Here are the main aspects that will help understand whether the price will move above or below this mark.

#Ethereum(ETH)
Factors supporting growth (above $3,800):

1. Bull market after Bitcoin halving (2024):

BTC halving historically triggers growth in the entire cryptocurrency market for 6-12 months after the event. ETH, as the second largest cryptocurrency, may follow Bitcoin.

2. Growth of activity in the Ethereum ecosystem:

• The development of decentralized finance (DeFi) continues to attract capital.

• The popularity of Layer 2 solutions (Arbitrum, Optimism) increases the usage of Ethereum and the demand for ETH.

• Increasing interest in NFTs and GameFi may also support price growth.

3. Decrease in ETH supply:

After the transition to PoS (Ethereum 2.0), the issuance of ETH has decreased, and the token has become deflationary during periods of high network activity. This creates a shortage, especially with the increasing number of stakers.

4. Institutional adoption:

If large institutional investors begin to use ETH as an asset similar to BTC, it will raise its value.

5. Ecosystem updates:

The implementation of Danksharding or other scalability improvements may attract new users and investors.

Factors that may decrease the price (below $3,800):

1. Correction after strong growth:

If the price of ETH quickly rose to $3,800, there is a high probability of a correction, as traders may take profits.

2. Overall state of the cryptocurrency market:

If Bitcoin starts to correct, ETH may also experience a decline.

3. Macroeconomic factors:

• Tightening of monetary policy (interest rate hikes).

• Economic uncertainty or decreased interest in risk assets.

4. Competition:

Other blockchains (such as Solana, Avalanche) may pull some users and investors away, negatively affecting the demand for ETH.

5. Regulations:

Strict measures from regulators against cryptocurrencies or specifically Ethereum may limit price growth.

Key levels for ETH:

• If the price breaks $3,800 with high trading volume, ETH may target the range of $4,200–$4,500, and then, if the positive sentiment remains, even higher levels.

• If ETH cannot hold above $3,800, a pullback to support levels of $3,300–$3,500 is possible.

Conclusion:

• If the market remains bullish, ETH may continue to rise above $3,800.

• In the case of a correction or negative impact from external factors, the price may retreat below.