Ethereum Surges Past $3,800: Is An ETH God Candle On The Horizon?
Ethereum (ETH) has shown signs of a resurgence, with the second-largest cryptocurrency by market cap surging 8% in the past 24 hours to surpass the key $3,800 price level. This uptrend comes at a time when Bitcoin (BTC) dominance is declining, indicating a potential shift towards altcoins in the market.
Bitcoin Dominance Declines as Altcoin Season Looms
Bitcoin dominance, a metric that measures the proportion of the total crypto market cap held by Bitcoin, has been steadily decreasing over the past two weeks. From 61.1% on November 20, it has now dropped to 54.9%. This decline has been noted as a key condition for the onset of an altcoin season, where alternative cryptocurrencies like Ethereum could see significant gains.
Analysts Bullish on ETH Price Targets
With Ethereum surpassing the $3,800 level, analysts are optimistic about its future price potential. Crypto analyst @venturefounder has pointed to a cup-and-handle pattern forming for ETH since November 2021, suggesting a target of $7,346 if the $3,800 resistance is decisively broken. Similarly, analyst Ali Martinez sees $6,000 as a mid-term target and $10,000 as a long-term goal for ETH.
Strong Ethereum Fundamentals Driving Price Growth
Positive developments in the Ethereum ecosystem, such as the growing popularity of Ethereum ETFs and proposed network upgrades like Ethereum Improvement Proposal-7781, are bolstering confidence in ETH’s potential to reach new all-time highs. However, concerns persist regarding the inflation surge in ETH’s issuance rate, raising questions about its ‘ultrasound money’ narrative.
ETH Price Outlook and Market Sentiment
If ETH breaks the $4,000 level, there is a possibility of a significant price rally towards $5,000, as noted by crypto enthusiast @MisterSpread. The overall sentiment in the market is bullish, with Ethereum breaking out of a three-year downtrend and showing signs of establishing a new ATH.
Conclusion
Ethereum’s recent price surge and positive market sentiment indicate a potential uptrend in the coming days. With strong fundamentals and growing investor interest, ETH could be on track to reach new price milestones in the near future.
Disclaimer: The information provided in this article is for educational and informational purposes only and should not be considered investment advice. Cryptocurrency markets are highly volatile and unpredictable, and investors should conduct their own research before making any investment decisions.
Source: NewsBTC