Key Points
- Ethereum’s Pi Cycle Top indicator predicts a potential market top of over $5k.
- If a price correction occurs, Ethereum could drop to $3.03k again.
Ethereum, like many other cryptocurrencies, has shown promising growth recently. Following Bitcoin’s path, many anticipate Ethereum to reach a new all-time high soon. However, the question is whether this is a feasible outcome.
Ethereum’s Path Forward
Similar to Bitcoin, Ethereum experienced a price increase of over 8% last week. At the time of writing, the leading altcoin was trading at $3,389.53, with a market capitalization exceeding $408 billion. This is considerably lower than Ethereum’s all-time high (ATH), which was nearly $4.7k, achieved in November 2021.
Despite this, the recent bullish trend in the market has led several technical analysts to predict a new ATH for Ethereum. One such analyst is AlejandroBTC, who recently tweeted about the possibility of Ethereum reaching an ATH by the end of this year. He also predicted that Ethereum could reach $7k by January 2025 and $14k by March 2025.
Resistance Levels and Predictions
These predictions are ambitious, and to understand the feasibility of Ethereum reaching these levels, it’s important to consider the resistance levels that Ethereum needs to cross. At the time of writing, Ethereum was struggling to break past the $3.4k resistance. However, the MA Cross indicator showed a bullish advantage, with the 9-day MA well above the 21-day MA, suggesting Ethereum could surpass this resistance soon.
If this happens, Ethereum’s next target could be $3.9k, followed by its March high of $4k. A breakout above this level could pave the way for Ethereum to retest its ATH.
The Pi Cycle Top indicator, a crucial tool for mapping market tops and bottoms, suggests that Ethereum could potentially reach a market top of $5.8k, well above its current ATH. While there may be a slight increase in liquidation, if market sentiment and investor confidence remain strong, this target could be achievable.
However, if market conditions change and Ethereum undergoes a price correction, it could potentially drop back to its support level of $3.03k.
