In 2024, Ethereum’s native token, Ether (ETH), has surged by approximately 67% and is poised to continue its upward trend in June, based on a combination of on-chain, fundamental, and technical indicators.
The price of Ether has broken out of a falling wedge pattern, signaling a bullish reversal. This pattern is characterized by two converging trendlines that slope downwards. Technical analysis suggests that the breakout above the upper trendline on May 20, accompanied by increased trading volumes, could lead Ether to reach a target of around $4,255 by the end of June, representing a 12.65% increase from current levels.
Furthermore, the breakout appears to be part of a bull flag pattern, which consists of two parallel downward-sloping trendlines. If the price breaks above the upper trendline, Ether could potentially reach $6,000 by the end of June or early July.
The accumulation of Ether by the richest whale cohort, particularly entities holding 10 million to 100 million ETH, has provided further support for the cryptocurrency’s potential to surpass $4,000. This accumulation coincided with a significant price surge and continued even after the official approval of spot Ether ETFs by the SEC on May 23. On the other hand, entities holding 1 million to 10 million ETH have been reducing their holdings, indicating profit-taking behavior. Additionally, Ether reserves on crypto exchanges have decreased, suggesting a growing sentiment of holding onto Ether rather than selling, which could drive the price above $4,000 in June.
Analysts believe that there is a strong possibility of U.S. spot Ether ETFs launching by the end of June, following BlackRock’s decision to update the Form S-1 for its iShares Ethereum Trust with the SEC. The launch of Ether ETFs, coupled with significant capital inflows, could fuel demand for Ether and push its price above $4,000 in the coming month.
It is important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any investment decisions.