TL;DR
Ethereum (ETH) dropped under $2,400 but may see a rebound, with predictions ranging from a short-term rise to $3,000 to a new high of $6,000 sometime in 2025.
Metrics like exchange netflow and RSI point to reduced selling pressure and potential buying opportunities for the asset.
What Could be Next?
Despite not reaching a new all-time high, Ethereum (ETH) witnessed a positive start to 2024, with its price surpassing $4,000 in mid-March. However, it experienced enhanced volatility in the following months, eventually settling at the current $2,400 (per CoinGecko’s data), which represents a 5% decline on a weekly scale.
ETH Price, Source: CoinGecko
The asset has been the subject of numerous price predictions recently, with some industry participants forecasting an upward move in the near future. The Cryptomist (an X user with over 130,000 followers) claimed that ETH could tumble to $2,330 before heading for a “big breakout” toward $3,000. Recall that the price slipped below that level earlier today (September 4), reaching a local bottom of around $2,318.
X user Yoddha also envisioned good days ahead for the bulls, arguing that “ETH is cooking something big right now.” The analyst believes the token’s price has fallen to a “strong demand” zone, which could be crucial for a potential incoming bounce.
Mags was even more optimistic, seeing ETH jump to a new ATH of almost $6,000 in 2025. In their view, the prediction could come true if the price stays above a major upward/sloping trendline or, in other words, does not fall below $2,300.
What are Metrics Suggesting?
Ethereum’s exchange netflow also indicates that the token’s valuation might surge soon. Over the past month, outflows have predominantly surpassed inflows, with two major red candles observed toward the end of August.
This signals a shift from centralized exchanges toward self-custody methods and could be viewed as a bullish sign since it reduces the immediate selling pressure.
The next indicator we will observe is the Relative Strength Index (RSI). It is a momentum oscillator used to measure the magnitude of recent price changes to evaluate overbought or oversold conditions. The RSI varies from 0 to 100, with readings below 30 suggesting that the asset could be oversold and a potential buying opportunity.
The ratio dipped below that zone at the end of August, currently standing at around 36.
The post Is Ethereum (ETH) on the Verge of a ‘Big Breakout?’ (Analysts Weigh in) appeared first on CryptoPotato.
