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Ethereum’s performance in 2024 has been lackluster, with the asset gaining just 47% and failing to notch a new peak price or spend much time trading above $4,000.
Meanwhile, Bitcoin surged more than 120% to a new six-figure all-time high in mid-December. However, analysts believe that Ethereum will outperform Bitcoin, which has been consolidating for the past fortnight, in the first quarter of the new year.
“ETH generally sees a good amount of action in Q1. Even during the past few years during the downtrend against BTC,” observed analyst “Daan Crypto Trades” on X on Jan. 2.
ETH/BTC Ratio Needs to Improve
During the previous bull market, 2020 and 2021 saw large moves for the ETH/BTC ratio, which also kick-started an altseason, he said before adding:
“~0.04 remains an important level to break for ETH.”
The ETH/BTC ratio, or Ethereum’s value in terms of Bitcoin, is currently 0.035, according to Tradingview.
$ETH Generally sees a good amount of action in Q1. Even during the past few years during the downtrend against $BTC.
During the previous bull cycle, 2020 and 2021 saw large moves for the ETH/BTC ratio which also kick-started an alt season.
~0.04 remains an important level to… pic.twitter.com/rEjnriL88i
— Daan Crypto Trades (@DaanCrypto) January 1, 2025
Meanwhile, Ethereum community advisor Anthony Sassano predicted that ETH would reach $15,000 in 2025.
Much of this momentum would come from Ether ETF inflows, which would hit $50 billion this year, as staked ETH products are filed for and approved, he added.
He also predicted that more major TradFi companies and institutions would start to build on Ethereum, BlackRock will launch a layer-2 tokenized real-world asset platform on the blockchain, and multiple nation states will reveal that they hold ETH as a treasury asset.
“Ethereum will turn 10 years old in 2025, and I’m very confident that this year will be Ethereum’s most bullish year yet!”
My 2025 predictions for Ethereum:
– ETH hits $15k
– ETH ETF net inflows hit $50bil+ for the year
– Staked ETH ETFs are filed for and approved
– More major TradFi companies/institutions start to build on Ethereum
– BlackRock (and partners) launch a layer 2 tokenized RWA platform…— sassal.eth/acc (@sassal0x) January 1, 2025
In a report released in late December, Steno Research predicted that ETH prices would reach $8,000 in 2025, with analysts “increasingly optimistic about an imminent altcoin season.”
“IMO, ETH will have a face-melting rally in Q1, 2025,” said analyst Ash Crypto, who compared performance in past cycles.
– ETH WAS DOWN 52% FROM ITS ATH
– ETH/BTC WAS AT CYCLE LOW
– EVERYONE WAS CALLING THAT ETH
IS DEAD– ETH PUMPED 91% IN JANUARY AND
HIT A NEW ATH– ETH IS DOWN 30% FROM ITS ATH
– ETH/BTC IS ALMOST AT… pic.twitter.com/ElsocwI8S3
— Ash Crypto (@Ashcryptoreal) December 31, 2024
A Great Start to 2025
On Jan. 1, Aave founder Stani Kulechov said, “Ethereum will have a great start for 2025.” He referred to the Pectra upgrade, which will enable accounts to function like smart contracts, “making smart wallets scalable and bringing better UX and safety for users.”
ETH prices were currently up 2% on the day, with the asset topping $3,400 during Thursday morning trading in Asia.
However, the asset has been trading sideways since its Dec. 20 slump from $4,000. Ether remains down 30% from its all-time high in November 2021 and only managed to come within 20% of that peak briefly in 2024.
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