Ethereum (ETH) Set for Resurgence, Analysts Predict Bullish Momentum
A well-known crypto analyst and trader suggests that Ethereum (ETH) may experience a surge similar to levels seen approximately a year ago.
According to the analyst Kaleo, Ethereum could rise to $2,400, a level last reached in May of 2022 before the Terra (LUNA) ecosystem collapsed.
This is still my best case scenario play for $ETH.
Dip to $1600s, then run it back up to ~$2400 to retest the pre LUNA / UST liquidation breakdown level. pic.twitter.com/xOavFhIxFF
— K A L E O (@CryptoKaleo) May 11, 2023
However, Kaleo also notes the possibility of a temporary dip in Ethereum’s value to around $1,600 before experiencing a 50% increase toward the target price.
Kaleo explains, “This represents my most optimistic scenario for ETH. It may temporarily drop to the $1,600 range, only to rebound and approach $2,400, testing the level prior to the LUNA/UST liquidation breakdown.”
Another crypto strategist named Bluntz shares a similar perspective on ETH. Bluntz believes that Ethereum, the second-largest cryptocurrency in terms of market capitalization, could find support around the $1,600 range before potentially concluding its current corrective movement.
Bluntz expresses uncertainty: “ETH is currently facing significant selling pressure. I am uncertain about the ideal entry point for long positions, but possibly somewhere between $1,600 and $1,700. Even then, a substantial reversal candle would be necessary for confirmation.”
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The analysts’ viewpoints on Ethereum coincide with a recent report from a reputable analytics firm, which reveals a decrease in ETH’s supply on crypto exchanges. Santiment states that the proportion of Ethereum held on exchanges has reached an eight-year low.
👛 As #Ethereum has dipped to $1,780 today, we've seen exchange supply continue to decrease. The percentage of $ETH on exchanges is at its lowest (10.1%) since public trading began in 2015. This is essentially the #AllTimeHigh for non-exchange holdings. https://t.co/WVmeAJhhMM pic.twitter.com/eMXoRh9R76
— Santiment (@santimentfeed) May 11, 2023
Santiment reports, “As Ethereum’s value temporarily drops to $1,780 today, the supply on exchanges continues to decline. The amount of ETH held on exchanges is currently at its lowest point (10.1%) since public trading commenced in 2015. This marks a record high for non-exchange Ethereum holdings.”