Ethereum Analyst Predicts $18,000 Price Target as Market Momentum Builds

Ethereum Poised for Significant Growth

Ethereum could be on the verge of a major rally as crypto market analyst @MrDegenWolf predicted that the asset may reach $18,000 by the end of 2025. His forecast comes as Ethereum recently surpassed the $4,000 mark, igniting renewed optimism across the digital asset market. According to the analyst, several strong fundamentals are aligning to push Ethereum’s value significantly higher.

Stablecoins Driving Ethereum Demand

According to @MrDegenWolf, stablecoins are quickly becoming the backbone of traditional finance. He explained that Ethereum powers a large share of the global stablecoin market, supporting remittances, tokenized treasuries, and other on-chain financial operations. As more stablecoins are issued, demand for ETH increases since every transaction on the network requires ETH for gas fees.

Tether (USDT), the largest stablecoin with a market capitalization of about $181.9 billion, is mainly issued on the Ethereum network. The analyst stated that if Tether’s valuation rises to $500 billion, Ethereum could handle trillions of dollars in transaction value, driving even greater demand for its native token.

Institutional Activity and ETF Momentum

The analyst also highlighted the potential approval of staking-enabled Ethereum ETFs by the U.S. Securities and Exchange Commission (SEC). When Ethereum ETFs launched in mid-2024, they did not include staking because of regulatory restrictions. However, the current crypto-friendly SEC administration appears open to approving staking features. Top asset managers such as Grayscale, Fidelity, and 21Shares have already submitted filings to incorporate staking into their Ethereum ETF products.

Additionally, @MrDegenWolf pointed to the growing trend of firms holding ETH as a treasury asset. Companies like SharpLink and BitMine are reportedly increasing their Ethereum reserves to earn yield and diversify their holdings. SharpLink recently raised an additional $77 million to purchase more ETH, underscoring growing corporate interest in Ethereum’s potential.

Shifting Investment Flows and Tightening Supply

Another factor the analyst noted is the declining appeal of traditional bonds. As bond returns weaken, investors are moving capital toward digital assets like Ethereum that offer better returns and utility in decentralized finance.

Ethereum’s expanding role in blockchain infrastructure further strengthens its position. The network is now a settlement layer for Layer-2 solutions, NFTs, and tokenized assets, establishing itself as a core component of the digital economy.

Moreover, around 30% of Ethereum’s total supply is currently staked across validators. This locked supply reduces available liquidity in the market and eases selling pressure. According to the analyst, this limited supply, coupled with surging demand, creates a favorable setup that could push Ethereum’s price toward $18,000 before the end of 2025.