Ethereum price is heading towards the $3,000 area / Source: Adobe The price predictions for Ethereum (Ethereum-ETH) are increasingly optimistic as it looks to retest the important psychological level at $3,000 for the first time since April 2022. The price has continued to gain momentum recently despite the stagnation of Bitcoin's upward trajectory near $52,000; ETH price has risen by approximately 13% over the past seven days, according to CoinMarketCap, while Bitcoin's price has risen by 4.4% during the same period.
Positive expectations for the price of ETH have recently increased, as a growing number of analysts express their optimism. Bernstein Asset Management suggested yesterday that several spot ETFs for Ethereum trading may be approved this year.
Given these optimistic projections and the contractionary financial data for Ethereum, along with its flexible staking mechanisms and environmentally friendly Ethereum blockchain design, it is likely that ETH will become the "preferred currency for institutional investment."
In contrast, Keyrock's CEO Kevin de Patoul pointed out in a statement to Cryptonews that the likelihood of approval for the establishment of spot ETFs this year is very low.
The SEC has not yet provided explicit guidance on whether ETH tokens are considered securities, which could complicate the approval process.
However, Patoul confirmed that the SEC will eventually approve the establishment of these funds, adding:
The use cases of the Ethereum blockchain and its significant growth potential are a major driver for institutional adoption through a regulated investment vehicle... Institutions and investors alike have the right to access an easy way to trade ETH instantly in the form of ETFs.
Ethereum Price Prediction: How high could its price go?
Investors are certainly not too concerned about the possibility of not approving the creation of ETH ETFs in the near future, as optimistic expectations align with positive technical indicators for ETH price, especially after the strong upward bounce from the support level at $2,700.
Looking at the long-term ETH price chart, it is clear that it has taken an upward path since last December, when it broke through the long-term resistance level at $2,150, emerging from the ascending triangle pattern it had been in for a long time.
Afterward, the price successfully tested the support level at $2,150 repeatedly in late December and early January, which strengthened the likelihood of it rising soon towards the next major resistance level at $3,600.
Ethereum price is heading towards the $3,000 area. If ETH price stabilizes above $3,000, it is likely to retest the $3,600 level.
Disclaimer: Cryptocurrencies are considered a high-risk asset class, and this article is prepared for informational purposes only and should not be considered investment advice in any form; you may lose your entire capital.
