TRENDING

Home » Ether’s All-Time High in 2024: A Slim Possibility, Analysts Say

Ether’s All-Time High in 2024: A Slim Possibility, Analysts Say

Analysts Predict Slim Chance of Ether Reaching All-Time High in 2024 Amid Competition from Tech Stocks and Market Uncertainty

by Isaac lane
0 comment

While some traders remain optimistic about Ethereum’s potential to reach new heights, a prominent analyst believes that hitting an all-time high by the end of 2024 is possible but unlikely. Nick Forster, founder of crypto derivatives platform Derive and a former Wall Street trader, suggests that Ethereum lacks the strong narrative needed to drive its price compared to other assets.

Spot Ether ETFs Face Competition from Tech Stocks

“Right now, Ethereum is struggling with a lack of a strong narrative, especially in comparison to tech stocks,” Forster said. He added that while the launch of spot Ether ETFs on 23rd July attracted attention from Wall Street, it also placed Ether in direct competition with more profitable technology stocks, which are delivering better revenue and multiples.

Ethereum printed a price of $2,282 on Jan. 1. Source: CoinMarketCap

Ethereum printed a price of $2,282 on Jan. 1. Source: CoinMarketCap

Since the start of 2024, Ethereum’s price has risen by just 0.98%, currently trading at $2,376, according to CoinMarketCap. In contrast, leading tech stocks have seen much stronger returns. Nvidia shares are up by 122.57%, while Meta Platforms has gained 49.26% over the same period.

Major Events Could Influence Ether’s Future

Forster believes that breaking Ethereum’s all-time high of $4,878 by the end of 2024 is “possible, but not highly likely.” He estimates that the options markets give it around a 10% chance, with three major events needing to align for a significant price surge: a victory for Donald Trump in the US presidential election, aggressive Federal Reserve rate cuts to boost liquidity, and a broader increase in global financial liquidity.

Crypto trader Titan of Crypto believes all the signs are pointing to upward momentum for Ethereum. Source: Titan of Crypto

Crypto trader Titan of Crypto believes all the signs are pointing to upward momentum for Ethereum. Source: Titan of Crypto

However, crypto trader Zen warns that a rate cut alone may not be enough to drive a rally. “If it falls short of market expectations, it could lead to a bearish reaction,” Zen posted on X (formerly Twitter).

Election Could Be a Turning Point for Ethereum

Forster also highlighted the upcoming US presidential election as a potential turning point for Ethereum, calling it “the most significant event in Ethereum’s history,” potentially even more impactful than ETF approval. He expects heightened volatility around the election, with a possible 10-15% price movement on the day.

Despite these challenges, some traders remain confident. Titan of Crypto noted that Ethereum’s Relative Strength Index (RSI) is nearing oversold territory, which often signals a rally or short-term price pump. Another trader, Yoddha, expressed confidence that Ether is “getting ready for five figures” despite the current market consolidation.

Related Posts :

footer logo

@2023 – All Right Reserved.

Incubated bydesi crypto logo