Ethereum Oversold? Researcher Predicts Speculative Surge Could Spark Market Revival

Share This Post

Ethereum has had a rough year, but recent insights from industry insiders indicate a possible comeback. Matthew Sigel, VanEck’s Head of Digital Assets Research, recently indicated that Ethereum is oversold.

He thinks that raising speculative interest in the altcoin will enable its comeback. This comes as Ether tries to catch up with rivals such as Bitcoin and Solana, which far exceeded it in 2024.

A Shift In Market Sentiment

Sigel spoke on The Tie’s latest episode in which he hopes Ethereum will go in the right direction. He also noted that, although Ethereum faces problems, particularly regarding EIP-4844 in which it changes its economic model, opportunities can still emerge for a “bottom.”

The market is now a little conservative, but Sigel sees the commodity drifting back into speculation, bringing price back up and advocates to the trade again.

That also places it in line with larger Ethereum expectations. Analysts are even expecting ETH to trade between $2,199 and $3,019 in 2024, with some expecting a spike to above $5,000 by 2025.

Excitement generated earlier this year by acceptance of spot Ethereum ETFs has brought a regulated gateway to investors for entering the market, both retail and institutional investors. This development may cause massive inflows into Ethereum with enormous financial inflows, further buttressing its price.

Technical Analysis And Price Predictions

According to the latest technical analysis, Ethereum must break above $3,000 to sustain its bullish sentiment, and many analysts believe this may well open roads for a new record high. According to the Ethereum Rainbow Chart, we can see all sorts of possible prices for the following years, with estimates reaching as high as $12,000 by 2030.

However, some are concerned about Ethereum’s long-term economic strategy. Sigel said that Layer-2 networks have started to claim more of Ethereum’s blockspace, resulting in lower transaction fees and income.

This development has led some investors to lose faith in Ethereum as a deflationary asset. If this trend continues without changes to link Layer-2 networks more closely with Ethereum’s ecosystem, VanEck’s long-term price targets may be jeopardized.

The Road Ahead For Ethereum

Despite these problems, commentators express a genuine feeling of optimism about Ethereum’s future. The prospect of fresh speculative activity, along with the regulatory certainty given by ETF approvals, could be exactly the spark for a significant comeback. As the market evolves and reacts to these developments, investors are looking for signals that a positive trend will return to Ethereum.

While Ethereum confronts challenges, experts believe that a combination of increasing interest and good market conditions might pave the way for a resurgence in 2024 and beyond.

Featured image from DALL-E, chart from TradingView

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

AI Firm Genius Group Follows MicroStrategy, Buys $120M in Bitcoin

The post AI Firm Genius Group Follows MicroStrategy, Buys $120M in Bitcoin appeared first on Coinpedia Fintech News Artificial intelligence firm Genius Group (GNS) is making waves in the realm of

Canary Capital files application for a spot HBAR ETF

Nashville-based asset manager Canary Capital filed an S-1 form for an exchange-traded fund (ETF) tied to HBAR, the native asset of the Hedera blockchain The move comes weeks after Canary’s

Future Outlook For HBAR: Insights From Hedera Q3 Surge And Price Projections

Decentralized ledger platform Hedera has posted a solid set of third quarter (Q3) results, in line with broader market trends as the digital asset landscape enters a potentially transformative fourth

Coin Metrics’ Analysis: Options Market Reflects Strong Bullish Sentiment in Post-Election Bitcoin Rally

A recent report from Coin Metrics highlights how post-election trading in bitcoin (BTC) has reached unprecedented levels, with the options market indicating strong investor optimism Coin Metrics

Strategic Bitcoin Reserve Can Be Done In Trump’s First 100 Days: US Senator

United States Senator Cynthia Lummis of Wyoming is optimistic that a strategic Bitcoin reserve could be realized quite fast under the incoming Trump administration Following former President Donald

Dogecoin Unleashes 157% Weekly Boom As Musk-Trump Buzz Builds

Dogecoin (DOGE) is making news again, as analysts forecast a price increase Following Trump’s recent election victory, the cryptocurrency has enjoyed a phenomenal 157% weekly increase, fuelled