The current pullback of BTC and ETH may be the last chance to get on board. Will ETH rise to 6000 USD after March?
New news on the Ethereum upgrade: the meeting concluded last week, and Ethereum developers hinted that the fifth testnet will go live in early January, potentially the last test before the Prague upgrade.
The Prague upgrade is expected to take place in March, and the market will start heating up in January. The Trump family's WLFI project bought ETH at the bottom during the weekend's crash.
Capital aspect
Matrixport: Ethereum continues to see capital inflow, and a re-entry opportunity may arise. Matrixport released daily charts stating that Ethereum, like Bitcoin, tends to lose momentum during significant price increases, especially when the price rises over 60% within 30 days. Historically, this is often a good opportunity to take profits.
The current price has retraced to the same level as a month ago, which may indicate that a re-entry opportunity is brewing, especially if the cryptocurrency bull market is expected to continue until 2025.
It is worth noting that Ethereum has not shown the higher beta characteristics seen in the last bull market during this round of rebound. However, it remains a favored asset among investors.
The recent continuous inflow of ETF funds is the best proof. This strong demand not only highlights Ethereum's important position but also indicates that it remains highly regarded even when its performance is slightly below expectations in this cycle.
Ethereum's strong performance relative to Bitcoin may continue in January 2025. Currently, the ETH/BTC ratio is 0.0356, and this ratio is expected to break through 0.04.
The last time it reached 0.04 was on December 8, when the price of Ethereum broke through the psychological barrier of 4000 USD to 4018 USD.
In January 2025, Ethereum will see more capital inflow, while Bitcoin may experience capital outflow and enter a consolidation phase, which will trigger a rise in tokens within the Ethereum ecosystem.
In terms of quarterly returns, the first and second quarters are the best-performing quarters of the year for Ethereum. Combined with Ethereum's characteristics, it usually starts to gain momentum in the second year after Bitcoin's halving.