Ethereum (ETH) is showing signs of a potential short-term correction despite recent attempts to climb above $3,400. However, a long-term outlook suggests the potential for significant growth by 2025.

Struggle to Break Above $3,400

Ethereum has exhibited weakness in recent attempts to surpass the $3,400 mark. This has sparked concerns about a brief correction phase, as suggested by various indicators, including the MVRV Momentum. Since falling below $3,400 on June 23, 2024, the downtrend seems more likely, urging caution among traders and a potential for long-term consideration.

2025 Growth Potential

On a monthly timeframe, Ethereum suggests the possibility of a major bull run in 2025. This mirrors its behavior during the 2021 bull market, where it went through retest and accumulation phases in August, September, and October 2020. Despite potential declines in October, Ethereum may begin to reverse by the year's end, setting the stage for future growth.

Performance and Social Sentiment

Comparing Ethereum's performance against Bitcoin (BTC), the downtrend may persist. Ethereum's valuation against BTC has fallen to 0.000295, breaching the crucial 0.0004 support level. This strengthens the notion of potential short-term declines. In social sentiment rankings, Ethereum is placed second for assets with the most negative sentiment, trailing behind Chainlink. Historically, strong bearish sentiment has often presented the best opportunities for a price rally.

While currently in a downtrend, Ethereum has the potential for reversal, particularly with the 2025 bull market in sight. Traders should monitor key support levels closely, as they might indicate early signs of a bullish reversal.