Ethereum (ETH) has been hovering around the $2,300 level lately, but with the Dencun update, analysts are predicting a potential rise of 50-60%. Statistics show a significant outflow of approximately 510,000 ETH, worth $1.22 billion, from exchange wallets over the past three weeks. These dynamics indicate bullish sentiment among ETH the holders, possibly indicating a reduction in selling pressure and a change in market dynamics.
Inactive Ethereum Wallet
The attention of experts was drawn to the resumption of work of an inactive ETH wallet, which stored 492 ETH ($1.1 million). The coin owner likely purchased his coins during the Ethereum ICO, when the price of ETH was only 31 cents. Analyst Michael van de Poppe remains bullish on the asset, citing solid support levels and the potential to break $3,000 in the second quarter of the year. He forecasts a target range of $3,500 to $4,000 over the next 3-6 months, citing factors such as the Dencun update, the possibility of launching a spot ETH ETF, and potential investments in Bitcoin, which will positively affect more after the halving, as catalysts for the cryptocurrency’s positive dynamics. broad crypto ecosystem.
The Crypto Community Hopes for the Speedy Approval of ETH-ETFs
The potential launch of a spot ETF on Ethereum could also be a significant catalyst for the asset’s price trajectory. If this happens, ETH will attract large investments from both institutions and individuals. Hopes for SEC approval, supported by positive comments from SEC Commissioner Hester Pierce, add optimism to the forecasts: “Crypto Mom” called on the regulator to approve the new tool and stated that no court decision would be required to approve funds on Ethereum.
Bloomberg analysts believe that the SEC will approve funds for the second cryptocurrency in May with a 70% probability. Previously, they precisely announced the approval date for spot Bitcoin ETFs.
However, the path to $10,000 is fraught with difficulty and uncertainty. The SEC’s recent delay in ruling on ETF applications from industry giants like BlackRock and Fidelity Investments underscores that many regulatory challenges lie ahead. The results of these discussions will play a decisive role in shaping the ETH financial landscape.
What do Experts Say about The Future of Ethereum?
Smart Blockchain founder Alex Reinhardt talked about Ethereum forecast for February. He said: “Our experts believe that the month will be positive for cryptocurrency. Alex Reinhardt explained his positive forecast for it by expectations of approval of spot Ethereum-ETFs, as well as technical updates that will increase the efficiency of the project’s network”. Also, StormGain cryptocurrency exchange expert Dmitry Noskov expects Ethereum to grow in February against the backdrop of a likely positive effect from the launch of new ETFs and due to the Dencun update.
“There is also a lot of talk around Ethereum about the potential emergence of Ethereum based spot exchange-traded funds. At the very least, there are already several filings with the SEC, including one from investment giant BlackRock. In addition, an update to Dencun is planned for the first quarter. It will improve scalability and reduce fees in second-level (L2) networks designed to relieve Ethereum,” this is how our analysts explained his positive forecast for Ethereum for February 2024.
Conclusion
The VR Soldier experts warn that the overall growth of ETH market is limited by many aspects, so it’s a typical February for Ethereum! February is traditionally the best month for Ethereum. Over the past 7 years, ETH has spent the last month of winter falling only once – in 2018. The decline occurred after Bitcoin and many altcoins reached an absolute maximum of around $20 thousand at the end of 2017 against the backdrop of the 2016 halving.
