Ethereum’s price action is being closely watched as 2024 draws to a close. The cryptocurrency’s movement is heavily influenced by key resistance and support levels, which, as recent analysis by cryptocurrency experts suggests, suggests a cautiously optimistic outlook.
Important price levels to monitor
Analyzing cryptocurrencies, Justin Bennett stressed the importance of Ethereum regaining the $3,540 level on the weekly chart on December 22. This pricing range is considered necessary to show a possible turn to optimism in the market.
If Ethereum fails to break through this barrier, it could fall below the important support area of $3,000 and head towards $2,600. A drop of this magnitude would be extremely costly for investors and speculators.
While I am optimistic about the overall situation in 2025, buyers still have work to do.
For example, $ETH needs to recover $3,540 on the weekly timeframe to show bullish momentum next week. Buyers have 33 hours to complete the trade.
Market sentiment and analyst forecasts
Crypto’s Titan, which uses the Ichimoku Cloud methodology to predict a possible recovery, has further bolstered bullish sentiment towards Ethereum with its analysis.
Analysts note that Ethereum has retested some key levels, which gives the impression that the current correction cycle is coming to an end. The strength of the Kumo Cloud support line suggests that if Ethereum can hold the current level, it is likely to set the stage for further gains.
Whales Accelerate Accumulation
At the same time, Ethereum whales have accumulated ETH, accumulating about 340,000 ETH in just a few days, worth more than $1 billion. The growth in accumulation shows that large investors are becoming more and more confident in the prospects of altcoins.
Ethereum Whales Bought $1 Billion Worth of ETH in the Last 96 Hours – Details
Additionally, spot Ethereum ETFs have attracted more than $2 billion in inflows since entering the U.S. market, indicating a growing interest in these instruments. If regulators allow staking of earnings within these funds, analysts predict that this trend could surpass that of Bitcoin ETFs by 2025.
Ethereum Price Prediction
Data from Coingecko shows that at the time of writing, Ethereum is trading at $3,330, down 0.7% and 15.7% on the daily and weekly timeframes, respectively.
Based on the Ethereum market’s current performance, a positive uptrend could still be in the cards within the next week, despite Ether’s numbers flashing red in the charts.
Although the current sale price is a 21% discount to the value that analysts expect in a month, analysts remain hopeful of its recovery.
Technical indicators such as the relative strength index (RSI) and moving averages suggest that a breakout to test key resistance levels could occur.
According to forecasts, Ethereum is expected to show a strong trajectory in the medium to long term, with prices expected to rise by 35% in the next three months and a staggering 100% in a year.