After enduring a challenging and turbulent year in 2022, the cryptocurrency market, and notably Ethereum (ETH), has experienced a remarkable resurgence in 2023.
Following a period of extensive market volatility, sharp declines, and lingering uncertainties, crypto prices have staged a powerful rebound, giving investors a much-needed sense of relief.
Moreover, things could get even better for Ethereum, leading crypto analyst Michaël van de Poppe thinks. According to the expert in a tweet on May 24, the world’s second-biggest cryptocurrency broke above a key resistance level, and defending that area will likely lead to another major leap toward $2,000.
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“Ethereum broke above the crucial $1,825 area. As long as that holds, and buyers are stepping in, I expect a rally towards $2,000.”
– the analyst wrote in the tweet.
ETH already exceeded the $2,000 mark earlier this year, surging as high as $2,130 in April, fueled by the long-awaited ‘Shapella’ upgrade. During the same period, Bitcoin (BTC) breached the $30,000 psychological threshold for the first time since June 2022.
The major network upgrade enabled staking withdrawals after a lock-up period of two years. Shapella boosted investors’ optimism about Ethereum because it brought fresh liquidity to ETH investors.
Apart from that, Ethereum’s price surge this year was also driven by the broader crypto market rebound following a severe downturn in 2022. Crypto prices recovered sharply over the past six months amid a changing interest rate outlook and the recent crisis in the traditional banking sector.
Ethereum price analysis
At the time of writing, ETH was trading at $1,818, down around 2% on the day. The cryptocurrency’s price was little changed in the past month, slipping around 1.2%.
On the other hand, its year-to-date gains remain strong, with ETH up more than 51% since the start of 2023.
Earlier this week, Finbold tapped the machine learning algorithm at the Price Predictions analytics platform, which set the price of Ether at $1,792 on June 1, 2023. The forecast implies a potential downside of around 1.4% from the current price.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
