The sentiment surrounding Ethereum is currently very bullish, with the second-largest cryptocurrency by market cap seeing an increase in dominance against Bitcoin. This surge in Ethereum’s dominance is significant as it may indicate the arrival of an altcoin season. Analysts have pointed to various factors that support this bullish outlook.
Crypto analyst Ali Martinez recently highlighted Ethereum’s breakout from an ascending triangle pattern on the weekly chart. According to Martinez, this breakout signals a potential price target of $3,400, despite short-term volatility. Another analyst, Mayne, shares this belief, indicating that $3,400 is a viable target for Ethereum’s price surge. Additionally, Mayne suggests that “ETH betas,” including tokens from Ethereum’s layer-2 networks Optimism and Arbitrum, could rally alongside Ethereum during this surge.
Bullish Predictions
Crypto analyst Ash Crypto also predicts a bullish future for Ethereum, stating that money is currently flowing from Bitcoin to Ethereum. Based on this observation, Ash Crypto believes it won’t be long until Ethereum’s price surpasses $3,200. Furthermore, CEO and founder of MN Trading, Michaël van de Poppe, previously suggested that Ethereum would rise above $3,000 and potentially reach $3,500 by the first quarter of 2024. Meanwhile, ColdBloodedShill, another crypto analyst, points out that as long as Ethereum remains above the $2,400 support level, the cryptocurrency is likely planning for higher prices.
According to market intelligence platform Santiment, the number of new Ethereum addresses is increasing as Ethereum continues to outperform Bitcoin. During this period, approximately 89.4 thousand new addresses are being created daily, representing a significant increase from early November’s figures of 70.4 addresses per day. Furthermore, Santiment observes a reduction in Ethereum’s supply on exchanges to 8.10%, nearing its all-time low of 8.05%. This suggests that Ethereum holders are shifting towards long-term holding and self-custody.
Implications and Conclusion
The rise of Ethereum’s dominance against Bitcoin and the various bullish predictions from crypto analysts indicate a positive outlook for the cryptocurrency market as a whole. If Ethereum continues its upward trajectory, it may pave the way for an altcoin season, during which other cryptocurrencies could experience significant gains. However, it is important to note that the cryptocurrency market carries inherent risks, and investors should conduct thorough research before making any investment decisions.
Please note that this article is for educational purposes only and does not represent the opinions of NewsBTC. It is crucial to exercise caution and make investment decisions at your own risk.
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