Here’s Why Analysts Predict $3,000 Could Be on the Horizon

Ethereum has remained above the $2,500 mark after a slight pullback from its recent peak exceeding $2,700 last week. As of the latest update, the cryptocurrency is priced at $2,564, showing a 2.4% increase over the last 24 hours.

Although the overall cryptocurrency market maintains a bullish trend—primarily fueled by Bitcoin’s significant price increase—Ethereum’s relative momentum seems more subdued, leading traders and analysts to question its present standing.

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Retail Activity Dwindling, Institutional Interest Observed

Even though Ethereum’s price is sustained above critical thresholds, analysts suggest that the cryptocurrency has not fully harnessed the broader market’s excitement. Notably, CryptoQuant’s analyst Burak Kesmeci pointed out that retail trading activity in Ethereum is lower than in previous cycles.

This may indicate that Ethereum’s surge is still in its nascent stages, with untapped potential ahead. The lack of retail enthusiasm, which often indicates local peaks, could imply that Ethereum has yet to reach a top in this market cycle.

Kesmeci noted a significant decline in retail engagement surrounding Ethereum. In comparison to the 2021 bull market, he observed that earlier surges were typically accompanied by sharp increases in retail trading volumes.

During the current cycle, however, retail interest has been largely subdued, even as Bitcoin advanced from $16,000 to over $111,000. While Ethereum experienced a brief rise in retail involvement in December 2024, this gained momentum dissipated quickly amidst broader market reactions to geopolitical developments, including renewed tariff conflicts.

According to the analyst, the market may be currently experiencing an accumulation phase, as the usual retail-driven excitement has not yet emerged. If this is the case, Ethereum could see an increase in participation over the coming months, particularly if the macroeconomic sentiment adapts positively. The potential for delayed retail engagement suggests that Ethereum’s existing rally might be only partway through rather than approaching a local summit.

Technical Indicators Signal Continued Bullish Trend for Ethereum

From a technical standpoint, several market analysts maintain a favorable outlook for Ethereum. A pseudonymous analyst, known as Crypto Busy, posted on X that the asset’s monthly chart remains structurally sound, highlighting a previous critical resistance point near $1,410.

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The post stated that Ethereum’s breakout beyond this long-held barrier has transformed it into support, a pattern that has historically foreshadowed significant rallies. Further supporting this view, analyst Michaël van de Poppe stressed the importance of Ethereum’s price movements around the $2,400 mark.

He remarked that this area represented a solid buying opportunity and is confident that if Ethereum can successfully retest and stay above this level, it could pave the way toward $3,000. Van de Poppe believes that such a breakout would mark the start of a new bullish phase for Ethereum.

Featured image created with DALL-E, Chart from TradingView