Ethereum’s price hasn’t been setting records lately, unlike some other cryptos. But there’s still a lot of hope for ETH, and people are buying it up.
Investors are Accumulating Ethereum
Over the past couple of weeks, investors have been buying a lot of ETH. Crypto analyst Kyle Doops noticed this surge in activity, with both small and large investors adding to their holdings. This shows strong belief in Ethereum’s future, even with the recent price dips. The growth of Ethereum’s network, and its dominance in DeFi and NFTs, are probably big reasons why.
This accumulation could be a sign of a bigger price move to come. However, the current market situation could still cause short-term problems.
High Leverage, High Risk
Another indicator, the Ethereum Estimated Leverage Ratio, is also rising. This means more traders are using leverage (borrowing money to invest), which is risky. While this could lead to a breakout above the $3,200-$3,500 range, it also increases the chance of sudden price swings and liquidations (losing your investment). Doops advises caution.
A $12,000 Ethereum?
Analyst Milkybull is even more bullish. Looking at the one-month chart, they see a pattern that often leads to big price increases. They predict ETH could hit $12,000! This bold prediction is supported by a recent 5% price jump and a 60% increase in trading volume.
While there’s still resistance around $3,500, the combination of increased accumulation and bullish predictions has many investors excited about Ethereum’s potential. But remember, the crypto market is volatile, so proceed with caution.
