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DeFi Derive protocol head of research Dr. Sean Dawson has provided a bullish prediction for the price of ethereum. He predicted that the <a target="_blank" href="https://bitcoinist.com/ethereum-takes-early-q1-lead-showing-post-halving-strength-will-history-repeat/” rel=”nofollow”>second largest crypto could rise as high as $12,000 and explained how the Pectra upgrade could contribute to the parabolic rally.
ethereum to hit $12,000 thanks to Pectra upgrade and other factors
dawson provided that ethereum could reach $12,000 by the end of the year thanks to the Pectra upgrade, Donald Trump's presidency, greater adoption, and a surge in ETF inflows. According to the research analyst, this bull case is possible if the <a target="_blank" href="https://bitcoinist.com/ethereum-pectra-3-key-eips-that-will-go-live/” rel=”nofollow”>pectra update is successful. The update is intended to help scale the network and improve user experience.
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Given <a target="_blank" href="https://bitcoinist.com/is-donald-trump-pro-bitcoin-stance-merely-political/” rel=”nofollow”>Donald Trump's pro-crypto From his stance, Dawson is also confident that the US president-elect will create a favorable regulatory environment, which would support further growth of ethereum. For eth to reach this $12,000 goal, Dawson also said that ethereum must see broader adoption within the real-world asset (RWA) industry. The network must also become a prominent player in emerging sectors such as DePIN and ai agents.
He ethereum Exchange Traded Funds (ETF) also have a role to play for eth to achieve this goal. Dawson mentioned that there needs to be larger inflows into these funds. He warned that the failure of these funds to attract institutional interest could lead to a bearish case for ethereum.
For the bearish case, the research analyst predicted that ethereum could fall as much as $2,000 due to the lack of inflows into the market. eth Spot ETF. He noted that this could happen if these funds lose ground on a successful launch of the Solana ETF. This is certainly still a possibility, considering how Solana dominated last year in terms of network activity.
Dawson warned that other Layer 1 networks are challenging ethereum's market share, although he added that this may offer greater risk and reward opportunities.
eth Remains Bullish Despite Recent Market Downtrend
crypto analysts have suggested that ethereum still has a bullish outlook despite the market's recent downtrend. In an x post, crypto analyst Moon Carl stated that despite the recent dump, eth is still trading within a symmetrical triangle in the daily schedule. The analyst added that if the support holds, a breakout could be expected with a bullish target of $4,100.
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crypto analyst The Cryptomist also laid out a path for ethereum to reach a new <a target="_blank" href="https://bitcoinist.com/ethereum-eyes-4000-breakout-with-bullish-inverse-head-and-shoulders-setup-details/” rel=”nofollow”>all-time high (ATH). A large descending wedge stood out, which played with symmetrical deviations. He added that eth could retest the broken level, then reject the support and insert a 4-hour oversold bullish divergence and then bounce to a new ATH.
At the time of writing, ethereum price is trading at around $3,300, up in the last 24 hours, according to <a target="_blank" href="https://coinmarketcap.com/currencies/ethereum/%5C” rel=”nofollow”>data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
