Ethereum breaks through 4,300 USD amid Bitcoin market share decline, raising expectations of a potential "reversal" within the next year.
The cryptocurrency market is witnessing a significant power shift as Ethereum surpasses 4,300 USD, while Bitcoin's market dominance continues to decline following a trend since late 2022. This event has sparked predictions about a "reversal" scenario – when Ethereum could overtake Bitcoin to become the largest market capitalization cryptocurrency in the world.
Analyst Lark Davis noted that a similar market share decline in the past pushed ETH to its historical peak of 4,900 USD, and with the current price above 4,000 USD, experts expect a stronger surge is approaching. Ethereum's approximately 24% increase and trading above 4,330 USD has attracted the attention of institutional investors and trading communities.
The primary driver of this optimism comes from Ethereum breaking the long-lasting Wyckoff accumulation pattern. This accumulation phase creates a premise for a sustainable upward trend, after the market absorbs selling pressure from psychologically weak investors, before the balance of power clearly tilts towards buyers.
Technical targets from 6,000 to 20,000 USD
Analyst Lord Hawkins noted that breaking the 4,200 USD resistance zone demonstrates a "Sign of strength" according to Wyckoff theory, with buyers clearly dominating. He forecasts a potential slight price correction to the "Final support point" before entering the "marking" phase, when demand exceeds supply and price increases rapidly. Hawkins estimates this phase could bring Ethereum to a technical target of around 6,000 USD.
Crypto Rover and Titan of Crypto analysts point out that ETH has broken a long-standing symmetrical triangle pattern, with the pattern size indicating a potential target of around 8,000 USD. They recall a similar breakout in 2020, when ETH price rose from under 200 USD to over 4,000 USD in just over a year.
Analyst Nilesh Verma offers a bolder forecast, noting that the recent bounce from the 1,750-1,850 USD support zone is similar to price actions in 2017 and 2020. Verma believes ETH could reach at least 10,000 USD in the next 6-8 months, potentially even 20,000 USD in the same period, based on previous 8,000% increases in past cycles.
Analyst Ali confirms that the "altcoin season has officially begun" after net capital flow into Ethereum first exceeded Bitcoin in this cycle. This reflects investors' readiness to allocate more capital to cryptocurrencies beyond BTC.
Ethereum co-founder predicts that as more businesses hold ETH alongside or instead of BTC, fund management companies could push Ethereum's market capitalization beyond Bitcoin within a year. Lark Davis also notes that institutional buying patterns and the "ETH overtaking BTC" narrative are clearly present in investment strategy discussions.
However, not everyone is optimistic about this prospect. Samson Mow, CEO of JAN3 and a strong Bitcoin supporter, warns about Ethereum's recent price surge. He suggests the price increase might be driven by strategic moves from "whales" rather than natural long-term demand.
Mow observes that some early Ethereum investors are leveraging market excitement to move BTC to ETH to push prices, with the intention of selling for profit and returning to BTC when ETH reaches a sufficiently high level.
