Ethereum price is nearing a crucial threshold, with expectations of a potential rally toward the $4,000 level. After a consolidation phase, the cryptocurrency has gained momentum, rebounding strongly from the key $3,500 support level. This movement reflects growing buying activity and hints at further upward potential in the near term. The broader crypto market has also started 2024 on a strong note, with cryptos experiencing significant gains. Ethereum’s current position has traders watching closely for signs of a breakout or continued bullish momentum.
Will Ethereum Price Hit $4K in the Coming Weeks?
Ethereum price is rebounding after trading below $3,420 for most of the week. Although the December high of $4,077 remains elusive, optimism persists that ETH may break the $4,000 resistance soon.
The recovery aligns with an uptick in Ethereum ecosystem activity. A surge in 24-hour trading volumes has bolstered the ecosystem’s cumulative market capitalization to $434 billion. The broader cryptocurrency market has also seen gains, with Bitcoin (BTC) trading above $97,000 and altcoins like Solana Price, Cardano (ADA), and XRP posting notable increases.
The global cryptocurrency market cap has climbed to $3.48 trillion, reflecting a 0.23% rise in the past 24 hours.
Analyst Predicts ETH Price Close to Breaking Its ATH
A crypto analyst highlighted Ethereum’s readiness to challenge its all-time high of $4,891.70. This peak, achieved on November 16, 2021, remains a critical benchmark for traders and investors. Ethereum currently trades 26.11% below this historic price, sparking discussions of a potential breakout.
The analysis shows Ethereum forming a strong ascending trendline, indicating consistent upward momentum. A key resistance level is visible near $4,000, which the cryptocurrency is currently approaching. If Ethereum surpass this resistance, it may set the stage for an aggressive rally toward its all-time high.
Technical indicators also signal bullish sentiment. The convergence of higher lows and a tightening price range suggests increasing buying pressure. Market analyst predict a breakout could push Ethereum to initial targets of $4,200 and later $4,800.
Ethereum Sees Major Whale Activity
A massive transfer of 27,973 ETH from an unknown wallet to a new one has drawn significant attention. Within one hour, six Ethereum transactions totaling $609.84 million were recorded, sparking a minor price boost for the cryptocurrency.
Ethereum’s price has stabilized around $3,500, with analysts eyeing $4,000 as the next resistance level. The recent whale activity could signal heightened market interest, reinforcing bullish sentiment in the short term.
Ethereum price is trading at $3,612, reflecting a 1% increase over the last 24-hour session and a weekly surge of 7%.
The Moving Average Convergence Divergence (MACD) is in a bullish crossover, with the histogram extending into positive territory. The Relative Strength Index (RSI) is currently at 70.59, indicating the overbought zone.
Source: TradingView
If Ethereum breaks through the $3,800 resistance level, the price could potentially aim for $4,000, representing a 10.92% increase from its current trading value. However, failure to surpass the $3,800 resistance might result in a pullback toward the $3,400 support zone.
