End of Year Ethereum Market Outlook: Insights into Current Trends and Future Predictions

Ethereum Technical Analysis Report | 31st December 2024

As we approach the end of the year, Ethereum’s technical analysis is more crucial than ever. In this report, we will delve into the current market trends and provide insights on what the future holds for ETH.

As of writing, Ethereum (ETH) is trading at $3,342.5, indicating a period of consolidation within a wide range of $2,850 to $4,094. It’s essential to note that the bulls are attempting to initiate a recovery from the uptrend line but are likely to face significant resistance at the 20-day Exponential Moving Average (EMA) at $3,494.

On-chain application issues have been long-standing, and Ethereum developers are optimistic about the upcoming Pectra upgrade. This upgrade aims to eliminate obstacles such as high gas fees and reliance on specialized wallets. The introduction of FaceID transaction approvals and seamless navigation through certain on-chain apps without requiring transaction signatures could usher in a new era of user-friendly blockchain experiences.

In recent times, ETH has been unable to breach the $4,000 mark, with the asset reaching a high of $4,107 but ultimately failing to close above this level. This led to a sharp correction, resulting in prices dropping by nearly 24.5%, dipping as low as $3,101. Since then, ETH has been consolidating between $3,200 and $3,500 with low trading volumes.

The asset has strong support at $3,000, and it is expected that $3,500 will act as significant resistance.

Support: $3,000
Resistance 1: $3,150

Source: zebpay.com