Ethereum price is poised for a potential surge toward the $4,000 mark as market sentiment reaches historic lows, according to crypto analyst Astronomer. Astronomer’s analysis of key technical indicators suggests that Ethereum’s value could climb significantly, exceeding its previous resistance levels and potentially reaching new all-time highs. The critical support zone between $1,700 and $1,900 has been reactivated by Ethereum, according to the analyst’s assessment. Ethereum is also seeing a positive shift as analysts see it outperforming Bitcoin in this cycle. Despite underperforming against Solana, Ethereum has still doubled from its 2022 lows. Astronomer has even switched his BTC holdings for ETH, anticipating Ethereum to gain more traction in the long run.
Analyst sees bullish rebound
Astronomer predicts a sustained price range of $1,700 to $4,500 for Ethereum in the long term. Historically, Ethereum’s assessment within the lower price band has often triggered market increases exceeding $4,000. Furthermore, the analyst observed Bitcoin forming a weekly low which creates potential for Ethereum to rebound with strength.
Negative Sentiment Fuels Optimism
The current market sentiment about Ethereum is overwhelmingly negative as indicated by its sentiment score of 14 points. This aligns with historical observations from past years in both 2017 and 2021, where significant rallies took place before setting new price records. This resurgence of positive sentiments is further fueled by upcoming developments.
Pectra Testnet boosts Ethereum Upgrade Hopes
The Pectra testnet launch marks a crucial milestone for Ethereum. Its successful integration of the Dencun upgrade alongside Prague and Electra updates positions Pectra as the next major step towards improving scalability, transaction costs, and user interaction, according to developers. Three new testnets have been launched (Holesky, Sepolia) through Hoodi, allowing investors to test the impact of these upgrades before full implementation in the main network.
Positive Outlook on Ethereum’s Future
Investors expect positive changes for Ethereum as the Federal Reserve prepares to announce its monetary policy decision on April 20th. This move is likely to influence market sentiment and potentially drive bullishness if financial conditions show any signs of improvement. Investors from both institutional and retail backgrounds anticipate a market surge driven by these developments, leading to increased activity in ETH assets and Layer 2 blockchain projects.