In a notable comparison to Bitcoin’s historic 2015-2017 bull cycle, a crypto analyst suggests Ethereum is on track for a major breakout, potentially reaching $10,000.
Ted Pillows, a crypto analyst on X (formerly Twitter), draws attention to a parallel between Ethereum’s current price action and Bitcoin’s past trends. His technical analysis suggests Ethereum is positioned for significant growth, mirroring Bitcoin’s past performance during a notable bull market. The cryptocurrency, according to Pillows, could see its price reaching $10,000 this cycle.
During the 2015-2017 bull market, Bitcoin experienced a dramatic rise from a bear market low around $201-$205 to new all-time highs of $685-$785 after breaking resistance near $465. Pillows posits that Ethereum is following a similar pattern. Having moved past a major resistance point, Ethereum could be gathering momentum for a substantial upward rally. Recently, Ethereum has shown volatility, fighting to recover from downturns that previously pulled its value below the $3,000 mark.
Although Ethereum's price has not yet surged drastically, Pillows identifies several factors that might underpin a bullish perspective. He points to Ethereum’s leadership in DeFi with the highest Total Value Locked (TVL) among platforms, its dominance in stablecoin liquidity, and the effects of growing institutional demand and accumulation. Furthermore, Ethereum's inflation rate is currently lower than both Bitcoin’s and most other altcoins.
These elements lead Pillows to argue that expectations for Ethereum’s price should exceed $5,000, calling that target conservative. Instead, he suggests aiming for $10,000.
While analysts like Pillows envision a strong future for Ethereum, large investors, or "whales," are increasingly purchasing ETH tokens. The recent decline in Ethereum’s price has led to some panic selling, but major investors are capitalizing on this downturn to accumulate more tokens.
Crypto analyst TradeerPA reports a significant increase in ETH acquisitions by Ethereum whales, underscoring a positive shift in market sentiment. This accumulation is anticipated to drive a potential rally to new all-time highs as demand strengthens.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.