The Bullish Sentiments Around Ethereum and its Potential Rise to $3,400

The Bullish Sentiments Around Ethereum and its Potential Rise to $3,400

The sentiment surrounding Ethereum is currently very bullish, with the second-largest crypto token by market cap experiencing a surge in dominance against Bitcoin. This rise is seen as significant by crypto analyst Jaydee, who suggests that it may signal the beginning of an altcoin season. Analysts like Ali Martinez also highlight that Ethereum has broken out from an ascending triangle on the weekly chart, indicating its potential to reach the $3,400 price level despite short-term volatility. Additionally, Mayne suggests that the upcoming price surge may also benefit Ethereum-based tokens known as “ETH betas,” such as those used in Ethereum’s layer-2 networks Optimism and Arbitrum.

Bullish Predictions from Crypto Analysts

Several notable crypto analysts have expressed their optimism regarding Ethereum’s price. Ash Crypto states that money is currently flowing from Bitcoin to Ethereum and expects Ethereum’s price to soon surpass $3,200. Michaël van de Poppe, the CEO and founder of MN Trading, predicts that Ethereum will rise above $3,000 on its path toward $3,500 by the first quarter of 2024. Another analyst, ColdBloodedShill, suggests that as long as Ethereum remains above the $2,400 support level, it is likely planning for higher prices. Bluntz Capital also emphasizes the importance of the $2,495 price range, indicating that Ethereum may experience a breakout as long as it holds above that level.

Rising Ethereum Addresses and Decreasing Supply on Exchanges

According to market intelligence platform Santiment, the number of new Ethereum addresses is on the rise, surpassing Bitcoin in popularity. During the recent period of Ethereum outperforming Bitcoin, approximately 89.4 thousand addresses have been created daily. This represents a significant increase compared to early November last year when only 70.4 addresses were created daily. Furthermore, Santiment reports that the supply of Ethereum on exchanges has reduced to 8.10%, approaching its all-time low of 8.05%. This decrease implies that Ethereum holders are increasingly opting for long-term holdings and self-custody of their assets.

The current sentiment around Ethereum is overwhelmingly bullish, with several analysts predicting a potential rise to $3,400. Ethereum’s growing dominance against Bitcoin, combined with the breakout from an ascending triangle on the weekly chart, provides a positive outlook for the crypto token. Additionally, the increase in Ethereum addresses and the decreasing supply on exchanges indicate a shift towards long-term holdings among ETH holders. As the market continues to evolve, it is crucial for investors to conduct their own research and consider the risks associated with investing in cryptocurrencies.

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