Analysts believe that Ethereum is unlikely to hit new all-time highs by the end of 2024 as it struggles to build a strong narrative and compete with tech stocks, Cointelegraph reported.
Nick Forster, founder of Derive, said that although the launch of the spot Ether ETF has attracted Wall Street's attention, Ethereum still has difficulty competing with higher-yielding technology stocks.
Ethereum has gained 0.98% since January 1 and is currently trading at $2,376, while several leading technology stocks have seen even greater gains over the same period.
Forster believes that it is "unlikely" that Ethereum will break through its all-time high of $4,878 before the end of 2024, with the options market giving a probability of about 10%.
He pointed to Trump's victory in the U.S. presidential election, the Federal Reserve's sharp interest rate cuts and increased global financial liquidity as three key events in achieving this goal.
However, trader Zen believes that rate cuts alone may not be enough to drive Ethereum prices higher, and if market expectations for rate cuts are not met, it could lead to a bearish reaction.
Forster also said that the U.S. election may be the most important event in Ethereum’s history, even more than the approval of the ETF.
He noted that traders expect Ethereum prices to fluctuate more during the election, with daily volatility likely to be close to 3.5%.
Crypto trader Titan of Crypto believes that Ethereum is about to rise, and when the RSI indicator approaches the oversold area, a rebound or short-term rise usually occurs.
Another trader, Yoddha, also said that Ethereum is preparing to break through five figures, although it is still consolidating.
