TL;DR
- Ethereum (ETH) has pumped by around 6% weekly, with analysts predicting potential moves past $4K.
- Bullish on-chain metrics and positive sentiment on platforms like Telegram support the thesis for an upcoming resurgence.
Time for ETH to Shine?
The cryptocurrency sector has been on a tear in the past several days, with Bitcoin (BTC) briefly surpassing $73,500 and Dogecoin (DOGE) hitting a six-month high of almost $0.18.
The second-largest digital asset in terms of market capitalization—Ethereum (ETH)—is also well in the green, albeit registering marginal gains. It currently trades at around $2,700, meaning a 6% weekly rise.
Multiple analysts seem to believe that ETH has yet to gain momentum and even outperform BTC. One person sharing that thesis is the X user Crypto General, who thinks the asset’s price looks ready to overcome the $2,800 resistance mark and “start a parabolic move towards the target of $4000.”
Another user with the X monicker Wolf chipped in, too, explaining that a “three-month ascending triangle that formed after the August scare is nearing completion.” The crypto enthusiast sees this as a precursor of a spike above $4K.
Last but not least, Phoenix predicted a “hated rally” for ETH in the near future. However, the analyst did not outline any particular targets:
I hope you aren’t trapped cause we’re actually somewhere here comparing to a year ago$ETH is still absolutely behind, but it will be a hated rally once it truly sends
Insert your hopium and raise your targets#Ethereum https://t.co/zCy6XoXabi pic.twitter.com/h9RpHOjnuY
— Phoenix (@Phoenix_Ash3s) October 30, 2024
Bullish Indicators
Certain on-chain metrics also suggest that the asset’s price may head north in the short term. CryptoQuant’s data shows that the ETH exchange netflow has been predominantly negative in the last month, signaling a shift from centralized platforms toward means of self-custody. This reduces the immediate selling pressure and could be viewed as an optimistic factor.
Additionally, Telegram’s sentiment involving Ethereum has changed toward positivism. According to IntoTheBlock, more than 30% of the ETH-related messages on the app are positive, while only 2% are negative. The vast majority (67%) are neutral.
Optimism in social channels can create a sense of momentum, attracting more retail investors, which may lead to short-term price increases.
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