Key Points
- Ethereum’s price could potentially reach $10,000, according to a crypto VC partner at Moonrock Capital.
- Increased Ethereum staking and renewed market interest could drive this price increase.
Simon Dedic, founder and partner of Moonrock Capital, has predicted that the price of Ethereum (ETH) could reach a cycle high of $10,000.
Although Ethereum’s performance has been lagging behind other major cryptocurrencies such as Bitcoin (BTC), Dedic believes Ethereum presents the ‘safest 3x’ opportunity in the current market.
Ethereum’s Potential Rally
Despite Ethereum’s slow performance compared to Bitcoin and other altcoins, there has been a steady increase in interest in Ethereum following the US elections.
Negative market sentiment has affected Ethereum’s catch-up rate, with the ETH/BTC ratio reaching new yearly lows.
However, Ethereum has recovered over 40% since November lows and has attempted to break through the $3.3K barrier, potentially opening the way for higher targets.
Increased Ethereum Staking
CryptoQuant’s JA Maartunn has noted a significant increase in Ethereum staking, with the highest weekly net inflows recorded in months.
This trend could be driven by renewed optimism about potential U.S. spot ETF approval for staking, potentially leading to an Ethereum supply crunch and positively impacting Ethereum prices.
Options traders on Deribit have also demonstrated optimism, placing more bullish bets on Ethereum reaching targets of $3.8K, $4K, $5K, and $6K.
Nevertheless, they are also prepared for potential pullbacks, with a slight increase in put options buying towards $3K and $2.8K targets.
