As the cryptocurrency market soars, many crypto projects are seeing their valuations grow back again. In fact, Bitcoin managed to pull back the entire cryptocurrency market from a worrisome downtrend. In a week’s time, BTC managed to jump by 10%. Today, Bitcoin breached its 60K mark. On the other hand, Ethereum managed to also regain its uptrend and show another bullrun. In fact, Ethereum is eyeing its previous all-time valuation of USD 4,375. This time, the technicals are in place to break yet another new psychological area. Will we witness an Ethereum 5K price before 2022? Let’s do some analysis to better assess where the market might lead ETH prices.
Ethereum Price Prediction – Where are ETH prices Going?
Despite several crashes, Ether was still on an uptrend. We did witness a heavy adjustment both on the 12th of May and the 7th of September. Despite what the mainstream media said on multiple occasions about ETH prices, it was purely based on FUD and regular descriptive news. Looking at figure 1, we can clearly how ETH prices are on an uptrend, with the previously mentioned price adjustments.
Price adjustments are very important, as they allow prices to breathe after extended uptrends. Most price breathers occur because of profit-taking or a technical short-term bear formed by stronger selling pressure on prices.
For now, prices are definitely eying the upper channel of the uptrend, delimited by the psychological price of 4K, then the previous ATH of USD 4,375.
Can Ethereum Price reach 5K soon?
Before Ether’s price reaches 5K, there are two important requirements both on a fundamental and technical level. From a fundamental perspective, negative events such as exchange hacks, governments crypto bans, or negative ratings from hedge funds would create FUD and drive prices downwards. This happened on multiple occasions previously, and such events usually end the uptrend, coupled with profit-taking.
From a technical aspect, prices need to first reach the previous all-time high, consolidate for a brief period before reaching 5K. In figure 2, we can see an estimated path for ETH prices based on previous price-actions.
The Crypto Market at a Glance
In the past 24 hours, most prices held a consolidation stance after the previous crypto market rally. NuCypher, Stellar, and Enjin Coin managed to gain respectively 22%, 12%, and 7%. On the other hand, Perpetual Protocol, Bitcoin Gold, and Flow lost the most, but barely 4% each.
1- Bitcoin (BTC) : – 1.5 %
2- Ether (ETH) : – 0.01 %
3- Binance Coin (BNB): – 1.33 %
4- Cardano (ADA) : – 1.87 %
5- Tether (USDT) : 0 %
6- Ripple (XRP) : + 0.82 %
7- Solana (SOL) : – 1.77 %
8- Polkadot (DOT): – 1.33 %
9- USD Coin (USDC) : + 0 %
10- Dogecoin (DOGE) : + 1.43 %
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Rudy Fares
