Ether Primed for $3.5K Rally Amid Growing Trader Optimism

A crypto analyst predicts Ether could make a “major push” to $3,500 if it achieves a weekly close above $2,800, a sentiment echoed by futures traders who are increasingly optimistic about an upward movement. Ether’s price chart indicates a potential rise to levels unseen since the launch of spot Ether exchange-traded funds (ETFs) in July. However, analysts maintain that a decisive weekly close at $2,800 is critical to confirming this upward trajectory.

“Should Ethereum close a week above $2,800, I foresee a significant push towards the $3,500 to $3,600 range, which would also bolster altcoins,” stated crypto analyst Matthew Hyland in an analysis video released on August 24.

Currently, Ether’s price is trading at approximately $2,758, following a period of consolidation around $2,600 since August 17, according to data from CoinMarketCap. A 6% drop to $2,600 could potentially liquidate $1.07 billion in long positions. Conversely, an upward move could leave only $400 million at risk, as per CoinGlass data, reflecting traders’ confidence in a bullish scenario.

Real Vision’s chief crypto analyst, Jamie Coutts, is optimistic about Ether’s price prospects but emphasizes that increased network activity is necessary for any substantial price rally. “While the conditions for a rally are developing, Ethereum will face challenges without a resurgence in activity. Transaction fees are currently at four-year lows,” Coutts wrote in an August 23 post on X (formerly Twitter). He noted that adoption of layer-2 networks is strong, and global liquidity is on the rise.

Not all analysts are aligned with this outlook. Boomer Saraga, founder and CEO of Khelp Financial, recently suggested that Ethereum’s on-chain activity indicates the network is nearing peak performance, with price being the lagging indicator. “From a fundamental perspective, Ethereum is achieving all-time highs, and I anticipate the price will eventually align,” Saraga commented.

Ether’s price has experienced a significant downtrend despite the introduction of spot ETFs in the United States. Since July 25, Ether has declined by 19.72%.

Cointelegraph recently reported that veteran trader Peter Brandt highlighted two potential scenarios for Ether’s price, based on two distinct chart patterns: a five-month rectangle and a rising wedge. The first scenario suggests that if Ether’s price rises above $2,960, it would provide an ideal exit point for long positions. The second scenario anticipates a breakdown from the rising wedge, continuing the downtrend and targeting a bearish low of $1,650.

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