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The price of ethereum has been consolidating for about a week since hitting a four-month high of $3,420. As the second largest cryptocurrency, ethereum has the highest price correlation with bitcoin. However, one could argue that the price of ethereum has been largely left behind in terms of performance throughout the ongoing bull cycle. Interestingly, a crypto analyst, Ben Lilly, has shared a bold prediction about the price trajectory of ethereum.
In a post on social media platform . Performance of eth price movements during bitcoin's ATH discovery phase in 2021.
A historical parallel: ethereum's rally in 2021
In his analysis, Ben Lilly referred to ethereum price behavior during bitcoin's historic price rally in the 2021 bull run. At the time, ethereum price was trading nearly 60% below its 2018 peak. After bitcoin hit new ATH levels, it took ethereum five weeks to do the same, recovering approximately 640% to reach its current ATH of $4,878.
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Lilly believes current market conditions mirror those of 2021, with bitcoin price recently entering price discovery mode. ethereum, which in November 2024 was about 50% below its 2021 high of $4,418, has begun to recover, showing gains of over 20% in just two weeks from a low of $2,366 on November 4.
Interestingly, the analyst's comments suggest that as bitcoin Price Continues to Set New Price Records this bull run, ethereum is likely to continue with a substantial price jump coming soon. The timeline for this substantial price jump, he projects, aligns closely with late December 2024 and early January 2025.
Based on his projections, the analyst claims that ethereum could repeat its historical pattern and recover significantly in a short period of time. He highlights that a 300% rise from ethereum's November 4 low price level could take it towards the $10,000 mark.
<blockquote class="twitter-tweet”>
eth will form a new ATH between December 21st and January 7th.
I don't make the rules. pic.twitter.com/NVgVdQ8Bsj
—Ben Lilly (@MrBenLilly) <a target="_blank" href="https://twitter.com/MrBenLilly/status/1859330247495225567?ref_src=twsrc%5Etfw” rel=”nofollow”>November 20, 2024
Current ethereum Price Status
Ben Lilly's ethereum price prediction highlights the importance of bitcoin's price momentum to that of the second-largest asset. In particular, the 2021 pattern you pointed out is a result of an altcoin season where the altcoin market (led by ethereum) began to outperform the price of bitcoin.
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As things stand, an altcoin season has begun. <a target="_blank" href="https://bitcoinist.com/bitcoin-remains-on-top-as-altcoin-season-fails-to-gather-momentum/” rel=”nofollow”>yet to materialize this cycleand all the interest goes to bitcoin. The price of bitcoin is currently at an all-time high, meaning the market will have to continue waiting for interest to hit ethereum.
At the time of writing, eth price is trading at $3,107 and is down 3.84% in the last seven days.
Featured image created with Dall.E, chart from Tradingview.com
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