ETH poised to break $4000. Here's why:
2024-12-05

Ethereum (ETH) price is now 19% below its all-time high, with the potential to reach $4,000 for the first time since March 2024. Key metrics, including a rising 7-day MVRV and increased whale accumulation, highlight growing bullish sentiment around ETH.

If ETH breaks through the $4,000 level, it could begin a surge toward its previous high of $4,867, though failure to sustain this rally might result in a retest of key support levels.

Ethereum price current uptrend is shown by its EMA Lines, and if it can break into the $4,000 level, it could start a new surge. Then, it could test its previous all-time high of around $4,800. 

Ethereum is showing strong potential to break the $4,000 level, supported by key drivers such as record institutional inflows into Ethereum ETFs, substantial whale accumulation, and heightened interest in staking-enabled ETF products. 

At the same time, rising layer 2 transaction volumes and increasing DeFi TVL are setting the stage for Ethereum challenging its old high of $4,867 in the near term.

On the other hand, if the current uptrend isn’t strong enough and the ETH price can’t break or sustain above $4,000, it could test support zones around $3,688, $3,500, and even $3,255.