Michaël van de Poppe, a renowned analyst and trader on the X platform, shared his optimistic outlook for the near future of the second-largest cryptocurrency by market capitalization. Second Van de Poppe, three crucial factors indicate that Ethereum could witness a jump of more than 70% in its current value.
Firstly, the anticipation surrounding the Dencun upgrade, a significant milestone in Ethereum’s journey, promises to propel the network to new heights. This update aims to reduce transaction costs for layer 2 projects while also addressing scalability challenges, a considerable step towards improving network efficiency.
“Ethereum is still poised for $3,500-4,000 in the next three to six months. Dencun update with final testnet on February 7th. Ethereum spot ETF hype. Bitcoin rotation after halving towards the rest of the ecosystem,” said Van de Poppe.
In addition to the Dencun update, the potential launch of exchange-traded funds (ETFs) for Ethereum and the expectation that Bitcoin profits will be transferred to Ethereum following the April halving are among the catalysts for upward momentum.
The Bitcoin halving, an event that halves miner rewards, historically precedes significant changes in the cryptocurrency market, suggesting a possible reallocation of capital to Ethereum.
Analyzing the current market, Van de Poppe noted that Ethereum appears to be forming a bullish pattern with increasingly higher low prices, indicating the possibility of the $2,336 level becoming robust support. Currently, Ethereum trades at approximately $2,320 with a 0.3% increase on the day.
The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing in or trading cryptocurrencies carries a risk of financial loss.