Increased investor interest in Ethereum is linked to technical analysis suggesting a potential price rise to $3,200.
Ethereum Price Predictions
Ethereum surged by 9% earlier this week but met resistance at $2,600. Analysts note that the 'golden cross' setup could push it to $3,200, a level not reached since January. However, not all indicators confirm this optimism.
Signals from the Derivatives Market
Despite ETH climbing to $2,600, demand for long positions has not increased. Typically, futures carry a 5-10% premium reflecting market expectations. Currently, the premium remains below 5%, indicating cautious market activity.
Competition from Solana
Competition from Solana is intensifying following the launch of its meme coin and the first U.S. ETF, which has increased blockchain transaction volumes. This also raises doubts about Ethereum's standing as the dominant altcoin. Meanwhile, Ethereum's impact on layer-2 solutions remains crucial, yet it requires more active engagement from the Ethereum Foundation.
Given the current market conditions and emerging competition, investors should closely monitor the price developments of ETH and the overall market status.
