3 Key Reasons Why Ethereum Price Could Hit $4,000 by November End

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As a seasoned crypto investor with a knack for spotting trends and interpreting market signals, I am bullish about Ethereum (ETH) reaching $4,000 before November ends. The recent whale accumulation, inflows into Ethereum ETFs, and the technical analysis pointing towards a wedge breakout rally all align to support this optimistic outlook.

During the trading session on Wednesday in the U.S., the price of Ethereum saw a drop below $3,200, indicating a bearish trend. This downward shift might be a post-rally correction, offering buyers an opportunity to regain their lost bullish momentum. Given Bitcoin‘s persistent growth fueling the broader market rebound, here are three reasons why Ethereum buyers may find renewed strength for a potential rise towards $4,000.

Today in the dynamic crypto world, I’ve observed that ETH was trading around $3,181, experiencing a 2.15% decline for the day. As per Coingecko, the market capitalization of my asset remains steady at approximately $382.4 billion, with a 24-hour trading volume of about $50.6 billion.

3 Reasons Ethereum Price Could Surge to $4,000 Before November Ends

Over the past fortnight, the price of Ethereum has seen a significant surge, causing it to burst free from its 3-month accumulation phase. Following this breakout, three main factors have contributed to the potential rise towards a peak of $4,000: the increased buying activity by large investors (whales), influx into Ethereum ETFs, and the emergence of a favorable reversal pattern in its price trend.

Whale Accumulation Signals Confidence in Ethereum’s Growth

As a crypto investor, I’ve noticed an exciting development: The Ethereum price recovery seems to be fueled by the strategic moves of whales. Based on data from Lookonchain, a new whale wallet has just amassed a significant amount of ETH – about 7,389.5 Ether, which translates to roughly $23.44 Million, within the last four hours. This could be a positive sign for the market as it suggests confidence in Ethereum’s potential future growth.

Over the last three days, a significant amount of capital has bought an astounding 18,049 Ether (approximately $59.3 million) from Binance, the crypto exchange. These transactions suggest that major investors are buying during market slumps with faith in Ethereum’s future expansion.

Historically, the build-up of whales (large holders) in a market has often coincided with significant market lows and served as a spark for a long-term rebound.

3 Key Reasons Why Ethereum Price Could Hit $4,000 by November End

ETH ETFs See $210M Inflows as Institutions Ramp Up Exposure

The triumph of Donald Trump in the last U.S. presidential election has sparked renewed institutional attention towards Cryptocurrency ETFs. As per Lookonchain’s data, nine Ethereum ETFs recorded a total inflow of 63,701 ETH (equivalent to $210.34M) on November 13.

BlackRock, on its own, added approximately 39,987 Ether tokens worth around $132 million to its existing holdings. This new addition brings the total amount of Ethereum owned by BlackRock to a staggering 569,536 Ether, which is currently valued at roughly $1.88 billion.

Such robust support from institutions implies a higher likelihood of Ethereum being chosen for long-term investments.

Nov 13 Update:

As an analyst, I’ve observed a significant increase in the flow of Bitcoin, with approximately 10 #Bitcoin ETFs collectively bringing in around 9,098 Bitcoin (equivalent to roughly $844.47 million). Notably, Blackrock, a prominent player, contributed 8,691 Bitcoin ($806.7 million) to this influx, currently holding a substantial 467,347 Bitcoin ($43.38 billion) in its reserves.

9 Exchange-Traded Funds (ETFs) tied to Ethereum

— Lookonchain (@lookonchain) November 13, 2024

ETH Price Analysis Signals Wedge Breakout Rally to $4,000

Starting from late March 2024, the estimated Ethereum price shows a significant decrease on the daily graph, which resembles a falling wedge configuration. This pattern typically leads to a brief dip due to the convergence of two trendlines that provide an opportunity for buyers to regain their purchasing strength.

Over the past nine days, the price of ETH has experienced an impressive jump from $2,378 to $3,177, representing a significant increase of 33.7%. This rally marked a powerful breakthrough above the crucial resistance trendline, suggesting that the current corrective phase may have concluded.

If the pattern holds true, the Ethereum price could rally another 28.5% to hit a high of $4,100.

3 Key Reasons Why Ethereum Price Could Hit $4,000 by November End

In a turn of events, the Ethereum price is experiencing a dip following its recent surge. If this downward trend breaches the 200-day Exponential Moving Average (EMA), it might provide sellers with more control, potentially leading to another corrective phase.

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2024-11-13 23:52