The leading altcoin performed well in its last bear market run. A cryptocurrency analyst says that Ethereum (ETH) could surpass the $3,000 level in 2023.
ETH jumps with the spring mood in the crypto money market
Meanwhile, Ethereum (ETH) is up 0.4% in the last 24 hours. The leading altcoin still has the ability to maintain the $1,500 range. At press time, the second-largest cryptocurrency by market cap is trading at $1,558. Also, ETH is up about 20% on a weekly basis.
Bitcoin and altcoin projects failed to find their hopes after Ethereum’s big upgrade Merge last month. However, this week, the crypto market has been bustling with signals for the Fed pivot. With this momentum, the leading altcoin managed to rise above $1,500 again. During this challenging period, Ethereum struggled to hold and surpass the $1,300 and $1,400 levels.
“Ethereum could hit over $3,000 next year”
The rally in the cryptocurrency market over the past few days has helped ETH break out of its long-term bearish trend. However, it still has not managed to approach its 2021 peak levels.
As you follow on Kriptokoin.com, Ethereum reached all-time highs (ATH) on November 10, 2021, along with its rival Bitcoin. In this process, ETH saw $ 4,878.26. However, the leading altcoin fell slowly but steadily. In this crash, it lost 69% of its ATH value. Thus, it was unable to maintain its peak position.
But based on historical price movements, there is a good chance for ETH to break the $3,000 barrier next year, according to a crypto analyst nicknamed Kaleo. The analyst says that although the altcoin still has a tough run, such a development makes sense.
$ETH breaking above $3K again in early 2023 makes sense pic.twitter.com/BZVUXccWIG
— K A L E O (@CryptoKaleo) October 27, 2022
The coin is displaying a bullish trend line for the first time in months. It does a great job at managing its fluctuations, especially in its ‘low regions’. The last time Ethereum was able to hold the $1,500 price range was September 15. That is, just before the retracement in an uncontrolled fall, even after the Merge.
Why did Ethereum crash after Merge?
The leading altcoin has been on the rise over the past few days. However, many participants in the broad crypto space are wondering what went wrong after the very exciting Merge update. First, major Blockchain development has no impact that can be felt, seen or measured in a short period of time. It’s progressing to have a long-term impact.
It is also important to remember that Ethereum, like other cryptocurrencies, is heavily influenced by major market forces such as inflation and interest rate increases.
Investors tend to think twice when digital currencies compromise their complete decentralization, with interventions from regulatory offices such as the U.S. Securities and Exchange Commission (SEC). Therefore, the threat of further restrictions on crypto assets also affects prices.
Finally, the relationship with the Merge update of ETH’s recent price increase is not yet clear. However, experts say the consequences of this development are yet to be seen and felt by the wider crypto space.
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