Three catalysts for Ethereum’s price in 2024, according to analyst

Three catalysts for Ethereumā€™s price in 2024, according to analyst

Ethereum could revisit the $4,000 mark in the coming months.

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by Vivian Nguyen

Ethereumā€™s Dencun upgrade, spot Ethereum ETFsā€™ hype, and the Bitcoin halving are three key catalysts that could significantly impact Ethereumā€™s price trajectory in 2024, crypto analyst MichaĆ«l van de Poppe predicted in a recent X post.

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Poppe pointed to Ethereumā€™s Dencun upgrade as the first catalyst. The upgrade is expected to significantly boost the networkā€™s transaction processing speed and reduce costs, improvements that are likely to attract more developers and users to the Ethereum ecosystem. This potential increase in adoption could positively impact Ethereumā€™s market value.

The second catalyst, according to Poppe, is growing anticipation for spot Ethereum ETFs. Seven firms, including BlackRock, ARK & 21 Shares, and Grayscale, have submitted spot Ethereum ETF filings to the US Securities Exchange and Commission (SEC). The SEC faces a May 23 deadline to decide on VanEckā€™s filing.

Fueled by anticipation of a spot Bitcoin ETF approval, Bitcoinā€™s price surged from around $25,000 to over $46,000 between mid-June (BlackRockā€™s filing) and January (decision month), according to CoinGecko data. This past excitement lays the groundwork for similar potential with spot Ethereum ETFs as anticipation builds around their approval.

The final catalyst identified by Poppe is the expected rotation of investment capital from Bitcoin to other crypto like Ethereum post-Bitcoin halving. Such a shift could spike demand for Ethereum, especially considering that the amount of Ethereum on exchanges has constantly decreased since the Merge, according to data from Santiment.

Ethereum supply on exchanges
Ethereum supply on exchanges – Source: Santiment

This tightening of supply, coupled with the expected increase in demand, is viewed as a bullish indicator of Ethereumā€™s price.

Disclosure: This article was edited by Vivian Nguyen. For more information on how we create and review content, see our Editorial Policy.
ETHEREUM
Three catalysts for Ethereumā€™s price in 2024, according to analyst
Three catalysts for Ethereum’s price in 2024, according to analyst

Ethereum could revisit the $4,000 mark in the coming months.

by Vivian Nguyen

Share

Add us on Google

Ethereumā€™s Dencun upgrade, spot Ethereum ETFsā€™ hype, and the Bitcoin halving are three key catalysts that could significantly impact Ethereumā€™s price trajectory in 2024, crypto analyst MichaĆ«l van de Poppe predicted in a recent X post.

Advertisement

Poppe pointed to Ethereumā€™s Dencun upgrade as the first catalyst. The upgrade is expected to significantly boost the networkā€™s transaction processing speed and reduce costs, improvements that are likely to attract more developers and users to the Ethereum ecosystem. This potential increase in adoption could positively impact Ethereumā€™s market value.

The second catalyst, according to Poppe, is growing anticipation for spot Ethereum ETFs. Seven firms, including BlackRock, ARK & 21 Shares, and Grayscale, have submitted spot Ethereum ETF filings to the US Securities Exchange and Commission (SEC). The SEC faces a May 23 deadline to decide on VanEckā€™s filing.

Fueled by anticipation of a spot Bitcoin ETF approval, Bitcoinā€™s price surged from around $25,000 to over $46,000 between mid-June (BlackRockā€™s filing) and January (decision month), according to CoinGecko data. This past excitement lays the groundwork for similar potential with spot Ethereum ETFs as anticipation builds around their approval.

The final catalyst identified by Poppe is the expected rotation of investment capital from Bitcoin to other crypto like Ethereum post-Bitcoin halving. Such a shift could spike demand for Ethereum, especially considering that the amount of Ethereum on exchanges has constantly decreased since the Merge, according to data from Santiment.

Ethereum supply on exchanges
Ethereum supply on exchanges – Source: Santiment

This tightening of supply, coupled with the expected increase in demand, is viewed as a bullish indicator of Ethereumā€™s price.

Disclosure: This article was edited by Vivian Nguyen. For more information on how we create and review content, see our Editorial Policy.