The Ethereum price has hit a new all-time high on Friday following Fed Chair Jerome Powell’s dovish Jackson Hole speech.
ETH formed a near 15% daily candle on Friday, trading as high as $4,885.
Analysts remain divided on whether Ethereum’s next move will be a bullish continuation or a bearish reversal. While the bulls claim that $6,000 will come sooner than expected, others are anticipating a pullback.
A mix of bearish technicals and Ethereum’s historical price behaviour around Jackson Hole events reveals why sidelined investors should be cautious of buying at its all-time high.
Nevertheless, the largest altcoin remains one of the best large-cap cryptos to buy today. Ethereum price predictions from a broad group of analysts are now indicating $10,000 as a consensus price target for 2025.
ETH ecosystem coins are also in high demand. Ethereum Name Service, Lido DAO, Ethena and Arbitrum are among the top crypto gainers on Friday, while low-caps like TOKEN6900 are generating significant hype as well.
The bullish thesis for Ethereum is playing out perfectly. Owing to it being the settlement layer for stablecoins, as well as the aggressive accumulation from treasury firms and whales, ETH is showing explosive bullish strength, hitting a new all-time high on Friday.
The largest ETH treasury firm BitMine’s Chairman Tom Lee has called the ongoing rally and Wall Street adoption, Ethereum’s 1971 moment. For the uninitiated, the US Dollar was removed from the gold standard in 1971, which unleashed decades of financial innovation.
Lee claims that the Ethereum price will peak in the $10,000 – $15,000 range. However, sidelined investors need to be cautious about buying ETH at its all-time high.
For starters, the Ethereum price has formed a higher high, while its Relative Strength Index (RSI-14) and its on-balance volume (OBV) have formed lower highs, a classic bearish divergence.
Even popular analyst Income Sharks, known for maintaining a bullish stance on ETH despite heavy bearish pressure, has urged caution. He has largely used on-balance volume to predict the top altcoin’s next move.
With the OBV now forming a bearish divergence as well as a potential head-and-shoulders pattern, sidelined investors shouldn’t FOMO buy at the current level.
Notably, popular influencer Cobra Trader and Into The Cryptoverse’s Ben Cowen are also anticipating a pivot of capital from Ethereum to Bitcoin in September and October.
Finally, previous Jackson Hole events have resulted in strong downside volatility. Even in 2024, when the Ethereum price initially showed strength for a few days, it subsequently saw a significant pullback.
Simply put, the risk-reward ratio doesn’t favour new buyers just yet. They should either wait for a better entry point below or a breakout in the on-balance volume.
Spot buyers may even choose to buy at the current price without much thought, considering Ethereum price prediction from analysts hints at 3x to 4x returns this year itself.
Altcoins in the Ethereum ecosystem are showing significant bullish strength. Arbitrum, Ethereum Name Service, Ethena and Lido DAO are among the top crypto gainers on Friday, which suggests high latent demand.
All eyes are now on a potential Pepe breakout, which will very likely deliver outsized returns.
Even low-cap meme coins are going viral. TOKEN6900 (T6900) is creating quite a buzz among low-cap hunters, having already raised nearly $2.5 million in its viral ICO. With just 5 days left in the presale, the FOMO has reached a fever pitch.
As the name suggests, TOKEN6900 is an Ethereum alternative to the popular Solana meme coin, SPX6900. It has the same anti-Wall Street spirit, delusional humour, reverence to the number 69 and a race to be the benchmark for brainrot finance. Moreover, it has the added benefit of being a low-cap gem.
TOKEN6900 is also a zero-utility meme coin, much like other successes like Pepe and Dogecoin. However, analysts have noticed its community-centric tokenomics, lucrative staking rewards and high upside potential.
Experts, seasoned traders and influencers are bullish on T6900, with many even viewing it as the next 100x crypto.
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