Ethereum (ETH), which broke its 2021 ATH by surpassing $4,900 in late August and set a new record, has since experienced sharp declines.
At this point, ETH experienced its steepest declines at the end of September and on Friday last week. However, expectations for a major rally for ETH remain unchanged.
Two prominent figures in the market, BitMine president Tom Lee and BitMEX co-founder Arthur Hayes, stated that Ethereum will reach $10,000 within the year.
In a recent appearance on the Bankless podcast, the duo reiterated their previous prediction that Ethereum would reach $10,000 this year.
“The year-end price target for Ethereum is in the $10,000 to $12,000 range.
What happened recently is not a bubble, but a price discovery for a new price level.”
Tom Lee said that ETH breaking its 2021 ATH and reaching around $4,940 is not a new peak, but a search for a floor and price discovery for a long-term uptrend.
“Ethereum has been trading sideways for about four years since 2021 and recently broke through the upper limit of this range. At this point, ETH has just broken out of a 4-year long range, so in my opinion, this is not a breakout, but essentially a search for price discovery at a new level,” Lee said.
Hayes said, “The outlook for Ethereum has not changed. Our prediction of ETH reaching $10,000 by the end of the year remains valid.”
Ethereum is currently trading around $4,100 and reaching $10,000 would represent an increase of approximately 143%.
*This is not investment advice.