Ethereum (ETH), the second-largest cryptocurrency by market capitalization, might be on the brink of a significant upswing as Q1 2025 approaches. Experts within the crypto community are buzzing on X, sharing insights and analyses that hint at an exciting start for ETH in the new year.
While Ethereum has seen an increase of nearly 43% year-to-date, this is modest compared to Bitcoin (BTC), which surged over 115% during the same timeframe. Furthermore, alternative Layer-1 blockchains like Solana (SOL) and SUI have outshined ETH throughout 2024. Yet, some believe the momentum could soon favor Ethereum, painting a bullish picture for the leading smart contract platform.
Crypto analyst Crypto Bullet recently pointed out a bullish pennant forming on Ethereum’s daily chart, suggesting a breakthrough could see prices reaching as high as $6,000 by March 2025. Similarly, expert Anup Dhungana has identified an inverse head-and-shoulders pattern on the weekly chart—a traditional bullish signal that indicates a potential price spike. According to Dhungana, ETH could even rise to $8,000 by May 2025; however, he cautions that the cryptocurrency might first dip to $2,800 before attaining new all-time highs (ATH).
Adding to this favorable outlook, veteran analyst Quinten Francois highlighted a historical trend where Ethereum often experiences strong gains during the first quarter of the year following a US presidential election. Should this trend continue, Q1 2025 could be exceptionally bullish for Ethereum.
Another interesting factor in this anticipated rise is the staking rate of Ethereum, which could lead to a supply crunch. Galaxy Research forecasts that as Ethereum approaches 2025, it will likely trade above $5,500, largely due to positive regulations regarding staking and decentralized finance (DeFi). They also expect the staking rate for Ethereum to exceed 50%, intensifying demand that could push prices higher.
Furthermore, Galaxy Research speculated that regulatory clarity brought forth by the potential Trump administration could provide a supportive environment for the cryptocurrency market. This might lead to spot-based ETH ETPs being allowed to stake some percentages on behalf of shareholders, further driving demand.
On top of that, the ETH/BTC trading pair is projected to close above 0.06 in 2025, a crucial leap from its current levels near 0.03. Such movement could ignite the much-anticipated altseason, benefiting Ethereum along the way.
Adding to the cheer, analyst Carl Runefelt also predicts a significant upward move for ETH as the new year unfolds. As of now, Ethereum is trading around $3,345, slightly down by 0.7% in the last 24 hours.
As we look forward to 2025, all eyes are on Ethereum. With potential bullish patterns emerging and the crypto landscape evolving, investors may want to keep a close watch on how these developments unfold in the exciting days ahead.
