- A whopping sum of $3.3 billion worth of Ethereum (ETH) has been withdrawn, increasing the available supply and negatively impacting the price.
- An analyst has predicted that ETH could stage an explosive rebound to hit $12,000 in 2025.
Ethereum (ETH) has declined by 5.3% in the last seven days to trade at $2.6k. However, its 24-hour performance remains marginally up as its trading volume surges by 39%. At press time, the asset’s market cap had declined to $319 billion with a market dominance of 10%.
Analyzing the reason for the existing price struggles, we found that 1.2 million ETH ($3.3 billion) has just been removed from the Beacon Chain, affecting the stability of the network. Technically, such removals increase the available supply of the asset, dragging the price down the price curve. Currently, ETH has a circulating supply of 120.55 million.
Prior to this report, the Ethereum Foundation had disclosed that it may soon stake its ETH holding valued at about $1 billion. As highlighted in our previous article, this is in response to the recent scrutiny of the lack of ecosystem participation.
Ethereum (ETH) Price Analysis
Currently, a crucial support level has been found at the $2,800 mark as the previous attempts to breach this level proved futile. The downward trends of the 50-day and 200-day moving averages also support the existing fear in the market. According to analysts, failure to break above the most existing resistance level could see ETH declining to the $2,500 and even the $2,200 zone.
Regardless of the current trend, analyst Captain Faibik has predicted that ETH could breach the existing all-time-high price and subsequently hit $12,000 this year. Specifically, he expects this prediction to materialize in Q4 of 2025. Commenting on the ongoing price behavior, the analyst explained that ETH has been trending within a consolidation Symmetrical Triangle.
This week, Ethereum was reported to have broken out of the descending resistance line of the symmetrical triangle, hinting at a possible rebound. Amidst the backdrop of this expected run, the ETH gas fees have significantly declined to 0.794 gwei ($0.04) from the previous 0.873 gwei ($0.05). According to crypto analyst Merlijn, this could be a calculated attempt by the team as earlier promised by Ethereum co-founder Vitalik Buterin.
Other Analysts Speak on the Asset
In our recent update, we covered the presentation of Researcher Justin Drake highlighting the possibility of ETH to restore its status as an “ultrasound money.” According to him, the asset could record a short-term surge once the much anticipated Petra Upgrade is triggered.
Similarly, analyst Titan of Crypto believes that “ETH’s most hated rally” could be on the verge of starting. Per the thesis, this analyst believes that ETH is currently imitating the price behaviour of Bitcoin during the third market cycle between 2018 and 2020. According to him, ETH is now in the “manipulation phase”. A validation of this movement could see the asset entering the “run-up phase”.
Analyst Ali Martinez has also predicted that ETH could easily hit $7000 this cycle once it successfully holds above the $2,600 level. As we covered in our latest report, Martinez expects the asset to first stage a rebound above the $3000 and $4000 range.
