After reporting sharp losses at the start of this week, Ethereum (ETH) has rebounded. The coin has shown incredible resilience in the face of major market pressure. ETH now looks poised for a major bull run, but how will this play out? Here is what you need to know first:
ETH Managed to regain the crucial $3000 support after falling below in recent days
So far, the price action has largely consolidated above $3000.
ETH has now crossed over its 50-Day SMA, and more gains will follow.
Data Source: Tradingview
What is ETH’s upside potential?
For most parts of 2022, it looks like growth for Ethereum has been capped at $4000. The coin has failed to breach $4000 this year, and every time it gets close, it ends up falling back down once more. For now, we do not think ETH has the bullish momentum needed to reach $4000.
Instead, we expect the price action to steady at slightly above $3000. Once this happens, ETH will likely break above $3200, and eventually, the coin will retest its 100-day SMA of around $3600 in the days ahead. If this happens, we could see gains of around 30%.
But if bulls are not able to hold the $3000 support, this prediction will become invalidated. ETH still remains highly volatile, and we may see it push lower than $3000 if current trends don’t hold.
When will ETH Hit $4000?
The bellwether for ETH’s decisive bullish breakout will come if the coin smashes $4000. In fact, many investors have been watching this price for the last four months.
Well, right now there isn’t enough to suggest that ETH will surge above $4000 in the near term. Instead, the coin is likely to range between $2700 and $3600. But this could change as we end Q2 this year. ETH is also predicted to hit $10,000 by the end of 2022.