Analyst Forecasts Ethereum (ETH) May Reach $3,000 by June

Ethereum (ETH) is showing promising signs that have led notable market analysts to forecast a potential rise past the $3,000 milestone by June.

This leading altcoin is diverging from the overall market trends, instilling optimism for an anticipated altcoin rally, bolstered by ongoing institutional investments and favorable technical signals.

Technical Challenges and the $3K Goal

Currently, ETH is trading at approximately $2,720, reflecting a modest 3.4% increase in the last 24 hours. This uptick continues a broader upward trend, with the asset rising 3.7% over a week, 7.6% in two weeks, and nearly 50% in the past month.

This strength stands in sharp contrast to the total cryptocurrency market, which has experienced a 2% decline over the past week, and Bitcoin (BTC), which briefly fell below $108,000 shortly after achieving its third all-time high of this cycle amid recent market turbulence.

ETH’s ability to gain traction while its counterparts hesitated underscores its relative strength. Analysts suggest that the primary technical challenge it faces is above. “There’s significant resistance at $2.8K, which will be a challenging level to surpass quickly,” remarked Daan Crypto Trades on social media.

After testing the $2,700 level twice this week, the cryptocurrency managed to break through decisively earlier today. Analyst Michaël van de Poppe views this development as a crucial sign:

“Ethereum above $2,700 is a positive indicator. I believe we will see $3,000+ by June,” he shared.

Market Sentiment Indicates Potential Breakout

In addition to price movement, institutional interest is becoming a steady support for ETH. A notable instance includes the significant investments made by BlackRock in their spot Ethereum ETF (ETHA), which purchased over $32 million of the asset on May 27. The fund has experienced 13 consecutive trading days of inflows, totaling approximately $170 million last week, bringing its overall assets to $4.4 billion.

“ETH Spot Premium remains strong,” noted Daan Crypto Trades. “It might not attract as many ETF inflows as BTC, but in relation to its market capitalization, it doesn’t need as much to sustain its momentum.”

Additionally, market analysis from firms like QCP Capital describes the present conditions as a “Goldilocks zone,” where declining yields on long-term U.S. and Japanese bonds are soothing investor concerns, creating a seemingly favorable environment for risk assets such as cryptocurrencies.

While the $2,800 resistance may pose a short-term challenge, the combination of continuous institutional buying, an improving technical framework, and positive on-chain sentiment, together with a supportive macroeconomic backdrop, has analysts increasingly optimistic that ETH may reach the $3,000 target in the coming month.