ETH, the native cryptocurrency of Ethereum, has yet to join the altcoin market’s strong growth, while other coins such as XRP, Cardano (ADA), and BNB have recorded significant gains. Currently, ETH is holding steady around $3,700, with investors expecting it to hit $4,000 soon as inflows into Ethereum ETFs increase again.
Will ETH reach $4,000 soon?
Despite not seeing the same growth as other altcoins, bulls have successfully defended ETH’s strong support levels.
Cryptocurrency analyst IncomeSharks noted that Ethereum’s daily support level still holds, reinforcing his belief in maintaining previous long positions. “I don’t recommend buying ETH at current levels, but daily support is holding,” he noted.
IncomeSharks also emphasized the importance of focusing on projects that deliver real on-chain value, placing the bottom support at $3,200. If ETH falls below this level, he expects a sell-off. On the other hand, his short-term target for ETH is $4,000 or higher.
On the long-term chart, ETH has been forming a massive “cup and handle” pattern since November 2021. However, Ethereum first needs to confirm a breakout above $3,800, opening the door for explosive growth. Based on the historical reliability of this pattern, analysts predict a target price of $7,346.
As of press time, ETH is up 2.15%, trading at $3,688.51 with a market capitalization of $444 billion. Ethereum’s on-chain transaction volume surged to $183.7 billion in November, marking its highest level since early 2021 and up 9% from its year-ago peak in March. The growth suggests that large capital flows are shifting to on-chain activities, fueled in part by a resurgence in Ethereum-based NFT trading. Ethereum-based NFT exchanges have recorded their highest transaction volumes since June.
