On October 11, 2023, Geoffrey Kendrick, Head of Cryptocurrency Research at Standard Chartered Bank, stated in a report that the price of Ethereum (ETH) will reach its 2021 high of $4,000 by the end of 2024, following the U.S. election.
Ethereum Price Chart, Source: TradingView.
Furthermore, Geoffrey Kendrick mentioned that by the end of 2026, Ethereum (ETH) will surge from $1,600 to $8,000, marking the starting point for ETH's long-term rise to $26,000-$35,000.
Why is ETH expected to rise to $4,000 or even $8,000? Standard Chartered Bank provides four explanations based on industry trends and Ethereum's own development:
Firstly, potential positive regulatory developments in the United States and the approval of spot ETFs would benefit ETH.
Secondly, the Bitcoin halving in 2024 is expected to drive the overall cryptocurrency market upward, particularly for Ethereum.
Thirdly, Ethereum leads the smart contract platform sector and benefits from gaming and tokenization applications.
Fourthly, upcoming Ethereum technological upgrades such as proto-danksharding, which reduces transaction fees, and the prosperous development of Layer-2 solutions, are favorable for Ethereum to capture a larger market share.
Moreover, a potential boost for Ethereum and the entire cryptocurrency market is the inclination of U.S. monetary policy towards interest rate cuts in 2024. This would stimulate capital shift from fixed-rate assets to risk assets, with ETH being one of them.
Additionally, after Ethereum completes its upgrade merge in 2022, ETH transitions from an inflationary to a deflationary asset, a scenario not observed in previous bull markets. This could create speculative interest and attract investment during the next bull run.
Considering the above factors, Ethereum appears to be a valuable asset for long-term allocation. What about the medium and short term? Since May 2022, ETH has been forming an ascending triangle pattern with equal highs and rising lows, indicating a typical bullish trend.
Ethereum Daily Price Chart, Source: TradingView.
Currently priced at $1,500, ETH aligns with the ascending trendline, representing a critical support level. As long as this level holds, the bullish trend remains intact. However, if it unfortunately breaks below that point, the bullish trend of ETH would likely be compromised, potentially targeting $1,000 or even $800.
