Ethereum (ETH), the second-largest cryptocurrency by market capitalization, is currently valued at $2,300, with investors eagerly anticipating a market rally. The potential approval of Ethereum Exchange-Traded Funds (ETFs) and the shift to a Proof of Stake (PoS) model, which implies a deflationary mechanism, are among the catalysts expected to drive the price surge.
Ethereum’s Network Strength
Despite the emergence of competitors, Ethereum maintains its dominance as the primary blockchain for decentralized applications, with a significant total value locked in. The network’s robust activity is evidenced by data from Santiment, showing 484,000 unique addresses interacting daily, a 30% increase over the past 90 days. This heightened activity is a positive indicator for Ethereum’s price support.
The network’s growth in active addresses and utility are seen as key factors underpinning the increasing market value of ETH. The community remains optimistic about Ethereum’s future, especially with the network’s consistent rise in active participation.
Market analysts are closely watching the developments surrounding the anticipated approval of an ETH ETF, which could significantly influence Ethereum’s price trajectory. Standard Chartered Bank has predicted that ETH prices may follow or even outperform Bitcoin in the lead-up to the expected ETF approval date.
Experts like Elja believe that Ethereum’s current price is undervalued, suggesting a potential rise to $10,000. Technical analysis indicates that ETH is at a strong support level, and if it maintains closures above $2,306, the price could reach new highs between $2,500 and $2,700. Conversely, closures below $2,190 could trigger a price drop to around $2,039.