The Ethereum (ETH) price forecast for 2024 looks less optimistic compared to the beginning of the year, with the possibility of delayed approval of the Ethereum Exchange Traded Fund (ETF) by the Securities and Exchange Commission (SEC). In this article, we review the latest predictions for the future of Ethereum.
Ethereum against the dollar (ETH/USD) witnessed significant volatility in the second quarter of 2024, after achieving 60% gains in the first quarter and approaching the $4,000 level, but falling to around $3,000 at the beginning of the second quarter.
This decline came as a result of the impact of the halving of the Bitcoin mining reward, the upgrade of Shapella and Dencun in March, and expectations of federal interest rate cuts, which supported the cryptocurrency market at the end of 2023 and the beginning of 2024. As enthusiasm fades and approvals for Ethereum funds are delayed, trading Ethereum is at a critical point.
Can Ethereum maintain the support level at $3,000 after approaching the March high? Let's explore the predictions for 2024 and the future of Ethereum.
*Ethereum 2024 Predictions and Key Notes*
*Current Outlook*: Currently, the bearish movement has tested the 50% Fibonacci retracement level, which could indicate a return of the uptrend at the end of the second quarter. A conservative estimate for the price of Ethereum is between $2,500 and $4,000 during the year, although some analysts expect the impact of the approval of spot crypto funds to be included in the price.
*The future of Ethereum 2025-2030: Many analysts are optimistic in the long term and expect the price of Ethereum to reach $40,000 by 2030.
*Ethereum Fundamental Predictions for 2024*
Ethereum started 2024 with strong momentum, supported by historical trends and positive analyst expectations. However, regulatory uncertainties have presented obstacles to continuing this momentum, especially regarding the approval of an Ethereum exchange-traded fund.
The year 2024 was expected to be the beginning of a major rally in the cryptocurrency market since June 2022. With institutional investors interested in Bitcoin spot ETFs, Ethereum, as the “silver to gold”, was expected to see a rise as well.
Companies such as VanEck, ARK Invest, and BlackRock have applied for Ethereum spot funds. However, regulatory delays have led to market turmoil and increased uncertainty. At the beginning of the year, the odds of the Ethereum Fund being approved in May were 70%, but dropped to 25% due to the absence of data from the SEC.
*Regulatory risks*
The SEC poses a double threat to the Ethereum price:
1. Classification of ETH tokens as securities.
2. Delayed approval of Ethereum spot funds for institutional investors.
These challenges may lead to market volatility and less optimistic revisions to Ethereum's 2024 outlook.
In conclusion, the second quarter of 2024 represents a crucial period for Ethereum, as regulatory and technical developments will determine its future path. If Ethereum spot funds are approved, we may see a significant price rise, making it possible to cross the $4,000 level.
These are expectations of analysts in the currency market.
This article does not claim to explore this category or any other.