Ethereum Price Forecast: Polymarket Predicts No All-Time High in 2024
Ethereum’s price has shown strong performance this year, with a 41% increase in the first seven months. However, the likelihood of Ethereum (ETH) reaching its all-time high of $4,857 in 2024 has diminished, dropping from 75% in June to 49%, as indicated by a Polymarket poll that has amassed over $623,000 in funds.
For ETH to reach its all-time high, it would need to surge by 46.17% from its value of $3,318 on Wednesday. While this growth is feasible, market participants express concerns about the absence of a clear catalyst driving the token’s rise. Another Polymarket poll, backed by $334,000, suggests that the probability of Ether reaching $10,000 in 2024 stands at a mere 13%.
Despite outperforming some major competitors like Avalanche (AVAX), Cardano (ADA), and Near Protocol (NEAR), Ethereum has trailed behind Bitcoin (BTC) and Solana (SOL), which have seen increases of 50% and 65%, respectively. Ethereum has notably generated the highest fees, amounting to $1.75 billion, surpassing Tron, Bitcoin, and Lido Finance, reflecting a rise in transaction numbers.
Nonetheless, Ethereum faces formidable competition from other blockchain networks. Tron, led by Justin Sun, has emerged as a significant player in the payment sector, particularly favored by Tether users. The approval of spot ETFs has proven beneficial for Ethereum, with Blackrock’s ETHA fund attracting over $442 million in inflows, followed by Bitwise, Fidelity, and Grayscale Mini.
The underperformance of Ethereum post-ETF approval mirrors Bitcoin’s trajectory following its approvals earlier in the year. This decline may be attributed to continued liquidation from the Grayscale Ethereum Trust, featuring an expense ratio of 2.50%.
To reach its all-time high this year, Ethereum hinges on two key factors. Firstly, Bitcoin must exhibit a robust bullish breakout above its all-time high of $73,300, a plausible scenario given Bitcoin’s formation of various bullish patterns on the weekly chart. Secondly, ETH needs to invalidate the double-top chart pattern between $3,970 and $4,095, signaling strong demand if achieved in a high-volume setting.
Another potential catalyst for Ethereum’s price surge could be the Federal Reserve’s indication of potential interest rate cuts in September. A dovish stance from the Fed tends to make riskier assets like cryptocurrencies more appealing to investors.
