Ethereum Price Prediction

Given the condition of its primary technical indicators, ETH’s chart still presents a bullish picture at this time.

In the last few days, its relative strength index (purple), which had been at an oversold 30 earlier this month, has risen to 60.

The 200-day moving average (blue) of the currency and the 30-day moving average (red) of ETH have increased in distance, indicating additional rises.

If ETH could clearly surpass $1,700 and maintain that level, it would be a positive indication that the threat of more losses has been eliminated.

Of fact, Credit Suisse’s European and worldwide financial systems remain vulnerable to further shocks given that they are still in a precarious situation (even with a loan from the Swiss central bank).

Even if the surge earlier this week would have suggested that the market is immune to concerns over the soundness of banks, if more shocks do occur, crypto — along with ETH — may suffer even more losses.

Ethereum is well positioned for some gains, especially over the course of the upcoming month, assuming that the situation continues to stabilise.

The Shanghai update is scheduled to launch at this time and is now operational on the Goerli testnet.

Although some have claimed that the update would cause a surge in selling pressure, it’s probable that the negative effects of the upgrade will be mostly restrained. Shanghai will allow the withdrawal of staked ETH, as we’ve previously noted.

This is due to developers placing daily limitations on how many validators can withdraw 32 ETH each day, preventing simultaneous withdrawals of staked ETH (this limit is currently at 1,800).

Shanghai therefore has a significantly greater positive impact on Ethereum than a negative one.

This is mainly because it reduces the risk associated with staking for users, as many will be motivated to do so while remaining confident in their ability to un-stake at any time.

Moreover, Shanghai will provide some of the technical foundations for upcoming Ethereum enhancements, such as sharding, which would allow various portions of the Ethereum blockchain to handle various batches of transactions concurrently.

Shanghai is therefore more likely to increase ETH’s price than decrease it.

But, it’s important to keep in mind that ETH has had deflationary tendencies ever since the Merge and EIP 1559 of last year, which means that it frequently burns more ETH than it issues (especially during peak periods).

The fact that Coinbase is still supporting Ethereum is more good news for the cryptocurrency.

In addition to announcing last month that it would be launching Base, an Ethereum layer-two sidechain, the exchange also disclosed that it would start processing unstaking requests 24 hours after Shanghai went up on the main network.

Along with Visa, who confirmed in February that it is testing USDC stablecoin payments on the Ethereum network, Coinbase now supports Ethereum.

Even though this is just a test, it shows how Ethereum is likely to come out on top in efforts by the larger cryptocurrency ecosystem to encourage widespread and business usage.

This makes ETH’s future look incredibly promising; if the current banking crisis doesn’t turn into a full-blown financial disaster, the coin is likely to soar back up to $2,000 in the next months.

From there, it might easily reach new heights in 2024, bolstered by increased bullishness brought on by the subsequent half of the price of Bitcoin.

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