Standard Chartered says that Ethereum could reach USD 35,000
Standard Chartered says that Ethereum could reach USD 35,000
Institutional investors begin to place their bets on the fact that the network is growing as a “financial market”.
The central theses
- The macro view from Ethereum is optimistic according to the bankruptcy giant Standard Chartered.
- Analysts of the company say that Ethereum could reach USD 35,000 and exceed market capitalization.
- Despite the bold forecast, Ethereum has suffered a brutal slump in the market today.
Analysts from Standard Chartered believe that Ethereum has more scope and that Bitcoin could even exceed number one after market capitalization as a cryptocurrency. Nevertheless, the technical data show that the ETH is prepared to trace back before it progresses further.
Standard Chartered says that Ethereum is undervalued
Standard Chartered shared an optimistic view for Ethereum.
The youngest London Hardfork of Blockchain has paid a lot of attention. With 224,700 ETH burned to this day and another 7,500,000 token locked In the ETH 2.0 deposit contracts, many analysts believe that a massive offer shock is in progress.
Standard charteristist one of the latest financial institutions that skipped the Bullish case for Ethereum. In a recently test report said that Ethereum could be viewed as a "financial market", since it enables users under many other services to lend and earn interest for investments. Such an immense benefit could enable Ethereum to obtain the market capitalization of Bitcoin, the report says.
The multinational banking and financial services company set a price target of $ 26,000 to $ 35,000 as soon as BTC exceeds $ 175,000, which corresponds to an increase of $ 1,000% compared to the current level. An ETH of $ 35,000 would give Ethereum a market capitalization of around $ 4 trillion, depending on the deflationary effects of its EIP-1559 updates.
A sweater in front of higher highs
Despite the optimistic view, Ethereum does not look so bullish from a short-term perspective.
The Tom DeMark (TD) Sequential indicator recently presented a sales signal on the daily chart of Ethereum. The bear formation developed as a green nine candle, which indicates one to four daily candle correction before the upward trend is resumed.
If this was confirmed by a daily closure below the level of support of USD 3,800, ETH would probably dive in the direction of the Fibonacci retracement level of 61.8% or 50%. These critical demand beer are at 3,350 USD or $ 3,050
ETH crashed by 15% today to $ 3,350 when the market was shaken by volatility. Bitcoin also fell by over 10 %, while many other assets with a lower upper limit were saved by 20 % or more.
Only a daily candlestick that closes above the recent high of $ 4.030 can invalidate the declining thesis. Under such unique circumstances, Ethereum would signal the resumption of the bull run towards the 127.2% Fibonacci retracement level at 5,115 USD.