Ethereum (ETH) has faced several ups and downs in 2024. The asset did not gain much traction for most of the year, even after the launch of spot ETHs. ETH started rallying after Donald Trump emerged victorious in the November 2024 US presidential election.
Ethereum’s latest price movements
ETH has faced quite a correction in recent weeks. The asset breached the $4000 mark earlier this month but has dipped below $3400. ETH’s price is down 1.9% on the daily charts, 2.1% on the weekly charts, 16.7% on the 14-day charts and 9.6% month-to-month. Despite the decline, ETH is up 46.2% since the end of December 2023.
Why is the market down?
ETH’s current dip is likely due to Bitcoin (BTC) falling below $93,000. BTC’s descent has had negative repercussions for the entire market.
On the other hand, BTC’s fall is likely due to the Federal Reserve taking a hawkish stance on its monetary policy. Inflation in the US increased to 2.7%. The increase led to the Fed announcing only two rate cuts in 2025 instead of three.
Can ETH reach $5000 by 2025?
Reaching $5000 will be a new all-time high for ETH. The asset needs to increase by almost 50% to reach the $5000 mark.
According to Telegaon, ETH will reach a peak price of $6589.17 by 2025. Reaching $6589.17 from current price levels will translate into a rally of around 97.36%.
Changelly analysts are even more bullish on Ethereum (ETH). The platform expects the asset to reach a peak price of $7194.28 in 2025. Reaching $7194.28 from current price levels will represent a rally of about 115.48%.
