Originally published on: December 17, 2024
Ethereum’s Ether (ETH) is on the brink of surpassing its previous all-time high as it soared to a new year-to-date peak of $4,108 on December 16th.
Over the past week, ETH price has surged by 8%, marking a substantial 28% increase over the last 30 days and an impressive 82% growth over the past year.
Trading data from Cointelegraph Markets Pro and TradingView indicates that Ether is currently trading at $4,000, with a mere 18% gap from its record high of $4,891 set on November 26, 2021.
What’s driving this bullish momentum in Ether’s price and could $15,000 be the ultimate target?
One compelling factor contributing to Ethereum’s upward trajectory is the sharp decline in its supply on exchanges. Recent data from CryptoQuant shows that ETH balances on trading platforms have hit an 8.5-year low of 9.2 million ETH, indicating a nearly 10% drop over the last year.
This reduction in exchange supply aligns with a noticeable surge in withdrawals from these platforms since October 2023, coinciding with a remarkable 73% price surge in Ether during the same period.
Moreover, large holders, known as whales, have been accumulating ETH aggressively in recent weeks, with whale wallet holdings hitting a record high of about 57% of circulating ETH, as per Santiment data.
Furthermore, the increasing number of new Ethereum addresses (over 130,200 in December) and rising open interest in Ether derivatives markets point towards sustained bullish sentiment and growing investor interest in the asset.
The current state of Ether ETF inflows from US spot exchanges suggests a positive outlook on Ethereum’s price trajectory, with investors pouring significant capital into Ether-based investment products.
While analysts predict price targets ranging from $15,000 to $25,000 for Ether, there are more conservative estimates suggesting a cycle top around $6,000. Nonetheless, the overall market sentiment remains optimistic, fueled by institutional interest and positive fundamental indicators.
As Ether inches towards breaking the $4,000 resistance level to pave the way for new all-time highs, the stage is set for an exciting bullish journey for Ethereum in the coming days and months.
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