A prominent crypto analyst forecasts that Ether (ETH) could make a significant push towards $3,500 if it manages to close the week at or above $2,800. This comes as futures traders increasingly bet on an upward movement for the cryptocurrency.
Key Levels to Watch: $2,800 as a Crucial Benchmark
Ether’s price chart suggests the potential for a rise to levels not seen since the launch of spot Ether exchange-traded funds (ETFs) in July. However, analysts are eyeing the $2,800 level as a critical threshold. According to crypto analyst Matthew Hyland, a weekly close above $2,800 could trigger a major push towards the $3,500 to $3,600 range. “If Ethereum can close a weekly above $2,800, I do think Ethereum is going to see a major push toward this upper $3,500, $3,600 area, which will also propel the alts,” Hyland stated in an analysis video on August 24.
Currently, Ether is trading at $2,758 after a week of hovering around the $2,600 mark, based on CoinMarketCap data. The recent price movement saw a 3.35% increase in the last 24 hours, hinting at growing momentum.
Market Sentiment: Bulls and Bears
Market data from CoinGlass reveals that a drop to $2,600 could potentially liquidate $1.07 billion in long positions, highlighting the risk of downside movement. Conversely, a comparable move upward has traders feeling more optimistic, with only $400 million at risk.
Jamie Coutts, Chief Crypto Analyst at Real Vision, shares a cautiously optimistic outlook. He notes that while conditions for a rally are developing, Ethereum’s network activity must pick up for a significant price movement to occur. “While the conditions for a rally are forming, Ethereum will struggle to rally without a resurgence in activity. Fees are at 4-year lows,” Coutts pointed out in an August 23 post on X (formerly Twitter). He also emphasized the strong adoption of layer-2 networks and the positive turn in global liquidity as supporting factors for a potential rally.
Divergent Views Among Analysts
Not all analysts are aligned on Ether’s prospects. Boomer Saraga, founder and CEO of Khelp Financial, argues that Ethereum’s on-chain activity indicates the network is nearing peak performance, with the price likely to catch up soon. “From a fundamental standpoint, Ethereum is reaching all-time highs, and I expect the price to follow,” Saraga explained.
Veteran trader Peter Brandt also weighed in on Ether’s price action, identifying two possible scenarios based on chart patterns: a five-month rectangle and a rising wedge. The bullish scenario would see Ether rise above $2,960, offering an ideal exit for long positions. On the bearish side, a breakdown of the rising wedge could continue the downtrend, potentially pushing Ether’s price down to $1,650, the bearish target derived from the rectangle pattern.
Despite the optimism from some quarters, Ether has struggled in recent weeks, particularly since the launch of spot ETFs in the United States. Since July 25, the cryptocurrency has declined by 19.72%, adding to the uncertainty surrounding its near-term trajectory.
