A widely followed crypto trader is laying out one bullish scenario for Ethereum (ETH) that could send the top altcoin to five digits in 2025.
In a new video update, Guy Turner, the host of CoinBureau, tells his 2.58 million YouTube subscribers that ETH will likely break through its all-time high and enter an explosive phase this cycle.
“Barring any black swan events spoiling our party, we should be able to take for granted that ETH will break through its previous all-time high of around $4,878 recorded in November 2021.
Where it goes from there, though, is the real question. Because ETH has spent so much time sliding against BTC and wallowing in price purgatory, it can be difficult to imagine a parabolic repricing.
However, once the all-time high is broken, there will be no historical levels of supply or resistance above. Price discovery will ensue, and ETH is likely to teleport moonwards.”
Crypto traders and analysts refer to price discovery as a situation where a coin trades at levels never seen before or not having been seen in a long time.
Next, the analyst uses Fibonacci extension levels to suggest that ETH may surge to $7,300 as a “base case,” which is the 1.618 Fibonacci level on the chart he shares.
Traders use Fibonacci extensions in technical analysis to estimate profit targets and price pullbacks. They are based on Fibonacci ratios.
Source: Guy Turner/YouTube
However, he says if Bitcoin nearly doubles its current price next year and hits $200,000, ETH could surge even higher, to $14,600.
“ETH has only just made it to the 0.786 [Fibonacci] level. So rather than doubling this price, we think doubling ETH price at the 1.618 level will give us a better upper limit of what could happen in 2025. This 1.618 level is about $7,300 which, again, we think is a pretty good base case target. Doubling this would give us $14,600.
For an asset that has underperformed BTC so severely, this sounds like a tall order indeed, and it’s therefore the most extreme bullish case for 2025 that we can take seriously. If BTC touches $200,000 in 2025 orthodoxy suggests that profits will rotate into ETH. With BTC at such a high level, this could be enough capital to bring ETH up above $14,000.”
Ethereum is trading for $3,686 at time of writing, down 5.5% in the last 24 hours. Meanwhile, Bitcoin is trading for $101,143 at time of writing, down 4.6% on the day.
Generated Image: Midjourney