Ethereum Price Prediction: Can ETH Hit $4K After SEC Decision?
Ethereum (ETH), the world’s second-largest cryptocurrency by market cap, is showing signs of change. While many other assets are stagnant, ETH has increased by 3.1% in daily charts, 1.3% in weekly charts, and over 14% in the last month. However, it has dropped by 6.5% in the past two weeks, showing a mixed performance.
SEC's Decision: A Major Win for Ethereum
The recent trend reversal could be attributed to an important development: the US Securities and Exchange Commission (SEC) has permanently suspended its investigation into Ethereum. This news was announced by ETH developer Consensys Software Inc. They stated,
"Today we’re happy to announce a major win for Ethereum developers, technology providers, and industry participants: the Enforcement Division of the SEC has notified us that it is closing its investigation into Ethereum 2.0. This means that the SEC will not bring charges alleging that sales of ETH are securities transactions."
Can Ethereum Reclaim $4,000?
With this positive news, many are speculating whether ETH can reach the $4,000 mark. Although ETH is showing signs of recovery, the broader crypto market is still struggling. For instance, Bitcoin (BTC), the market leader, is trading around $65,500 and has dropped by 3% in the last week. Typically, other crypto assets follow BTC's path, making it unlikely for ETH to rally without BTC’s support.
Market Predictions
CoinCodex researchers predict that Ethereum (ETH) will consolidate around its current price in the upcoming weeks. They estimate that ETH will trade at $3,533.39 by Sunday, June 23, 2024.
The Role of Ethereum ETFs
Earlier this year, the US SEC also approved Ethereum Exchange Traded Funds (ETFs). This, combined with the suspension of the SEC investigation, could potentially push ETH's price above $4,000. However, such a surge will require the overall crypto market to rally as well.
With the SEC's favorable decision and the potential of ETFs, ETH has promising prospects. However, the broader market trends will play a crucial role in determining whether it can hit the $4,000 target.
