Ether (ETH) potentially hitting the $10,000 mark is being touted as a highly promising opportunity in the current cryptocurrency market landscape, as per a well-known analyst. The question remains – can Ether really reach $10,000 in this ongoing bull cycle?
The prospect of Ether reaching $10,000 is being hailed as the top bet in the current market conditions by popular crypto analyst Tyler. In a post dated June 16, Tyler emphasized the potential of Ether’s price surge. Presently, on the weekly chart, Ether is seeing a decline of over 4%, hovering just below the $3,400 mark as of 1:10 p.m. UTC, as per data from TradingView.
For over two weeks now, Ether’s price has been on a downward trajectory since hitting a high of $3,939 on May 27, only to face rejection near the $4,000 psychological level.
Despite the optimistic outlook, Ether is facing hurdles in surpassing the $4,000 mark. Additionally, it is currently trading over 30% lower than its all-time high of $4,891 set in November 2021. To reach $10,000, Ether would need to witness a substantial increase of over 194% from its current value.
Resistance is particularly strong at the $3,500 mark for ETH price. A potential breakthrough at this level would lead to the liquidation of more than $534 million in leveraged short positions across various exchanges. If Ether manages to breach the $3,586 mark, short liquidations could soar past $1 billion, according to data from Coinglass.
Institutional inflows from the upcoming spot Ether exchange-traded funds (ETFs) could potentially catalyze Ether’s price action. These ETFs are scheduled to commence trading by July 2, as per Bloomberg ETF analyst Eric Balchunas. However, SEC Chair Gary Gensler has hinted at a broader timeframe, suggesting that spot Ether ETF trading might kick off within the next three months, by the end of September.
Similar to Bitcoin, ETF inflows played a significant role in driving its price surge. By mid-February, Bitcoin ETFs had accounted for approximately 75% of new investments in the leading cryptocurrency as it crossed the $50,000 milestone.
Another factor that could propel Ether’s price is a potential supply crunch, as Ether’s availability on exchanges has dropped to an eight-year low. This scarcity could fuel further upward momentum, as noted by crypto expert Quinten in a post to his sizable following on June 18.
It is essential to note that this article does not offer investment advice. All investment decisions involve risk, and readers are encouraged to conduct their own research before making any financial moves.