Ethereum Price Forecast: Will ETH Reach $5,000 by 2024?

Ethereum Price Update: ETF Inflows Spark Debate on ETH’s Path to $5,000

Ethereum Price Forecast – Ethereum (ETH) faces significant challenges in hitting the $5,000 mark by the end of 2024, according to the latest data from Derive, an on-chain options protocol. While Ethereum has seen substantial inflows into spot Ether exchange-traded funds (ETFs), the likelihood of ETH reaching the highly anticipated $5,000 price target remains below 10%.

Ethereum’s Probability of Reaching $5,000 Dips to 8%

As of December 10, Derive’s head of research, Sean Dawson, reported that the probability of Ethereum reaching $5,000 by December 27 peaked at 16%, but has now dropped to just over 8%. Ethereum’s current price stands at $3,669, meaning it would need a 37% price surge to hit the $5,000 milestone. Dawson further noted that the market sentiment appears neutral, with calls and puts for ETH being evenly distributed.

ETF Inflows Point to Potential Supply-Side Crisis

Despite the lower probability, the crypto space is buzzing with optimism. On the same day, Ethereum contributor Eric Conner pointed to the $305 million in Ether ETF daily inflows on December 10 as a sign of an impending “supply-side crisis.” These inflows include a significant $202.2 million contribution from the Fidelity Ethereum Fund, further fueling speculation about a potential price rally.

Traders Remain Bullish on Ethereum’s Future

Some traders, including pseudonymous crypto trader CoinMamba, remain optimistic, maintaining their $5,000 target for ETH by year-end. Meanwhile, crypto trader Pentoshi noted that Ethereum is undergoing structural changes along with large ETF flows, which could potentially lead to Ethereum testing its all-time high of $4,878 set in November 2021.

As the market navigates these mixed signals, all eyes are on Ethereum’s performance in the coming weeks, with traders hoping for a significant breakout.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.