Will Ethereum Price Fall to $1,200 or Rally in 2024?
As Ethereum (ETH) continues its month-long decline, analysts are divided on the cryptocurrency's next price move.
Some predict further declines, possibly reaching $1,200 by the end of the year, while others predict a move higher. This section explores the reasoning behind these different positions.
Ethereum may fall or rise to $1200.
Crypto analyst and entrepreneur Benjamin Cowen wrote in a post on X that ETH is currently trading in a wedge pattern, gathering narrow support and resistance lines as the price fluctuates. Cowen bought ETH in 2015. He pointed out that he was trading in a similar wedge pattern in 2019.
What makes this significant is that before the Federal Reserve announced its first rate cut in a decade, the price of ETH hit rock bottom. When the Federal Reserve implemented a rate cut, ETH broke below the wedge, causing a significant price drop, and the ETH/BTC pair hit a bottom.
If 2024 follows the same trajectory as 2019, ETH may go back in the current knot and break after the first rate reduction of the year. If this happens, ETH could drop to around $1,200.
“My guess is $1,200 in December. In 2016 and 2019, ETH/BTC crashed, and ETH/USD dropped 70% to 0.300 risk. 0.300 risk is now $1208. That represents a soft landing IMHO, then in H1 2025,” Cowen wrote.
While the altcoin remains at risk of falling, the current wedge lows indicate that ETH is now in a very strong position compared to 2019. This means that even if it temporarily breaks below the wedge, the damage can be limited. to previous cycles.
Crypto analyst Michael Van de Pop doesn't share Cowen's sentiment. He believes that the altcoin will rise after several months of decline.
“The bullish divergence is still valid, and higher lows have been made. The decline of the past months could be broken to the upside. That could be a big push for the whole market,” Van de Pop wrote on X.
Read more: 9 Best Places to Sell Ethereum in 2024
ETH Price Prediction: 11% decline still possible.
At press time, Ethereum is trading at $2,360, a 6% gain since September 6. Key momentum indicators on the intraday chart suggest increasing demand for ETH.
For example, Chaikin's Cash Flow (CMF), which measures liquidity, has risen and is now above the zero line, indicating strong buying activity in the market.
If this buying momentum continues, ETH may maintain its upward trend and attempt to cross the resistance at $2,535. If successful, the next target could be the 30-day high of $2,867.
Read more: How to buy Ethereum (ETH) and everything you need to know
However, increased profit-taking activity may cause the coin to revisit the August 5 low of $2112. This means an 11% decrease from the current price.
Disclaimer
In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be construed as financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions. Please note that our terms and conditions, privacy policies and disclaimers have been updated.
