- Ethereum may hit $2,500 this year, Nigel Green thinks.
- ETH/USD is supported by 200-SMA on the hourly chart.
Ethereum trades at $685 handle amid quiet Asian hours on Monday. The second largest coin gained about 13% during the previous week, though the further upside is capped at $700 threshold. The coin entered the consolidation phase that may last for several trading sessions as many traders are off for spring holidays.
Meanwhile, DeVere Group, a financial consultancy company, providing advice to clients and investors around the globe, believes that the price of Ethereum can experience a stellar rise and reach $2,500 by the end of this year.
“The price of Ethereum is predicted to increase significantly this year, and could hit $2,500 by the end of 2018 with a further increase by 2019 and 2020,” Nigel Green, founder, and CEO of deVere Group, wrote in an email to MarketWatch.
He named three main drivers for growth, such as increased Ethereum usage for trading. ETH-based smart contracts popularity and process of cloud computing decentralization. Green also noted that increased regulation will ensure greater investor protection and attract more institutional players to the market.
Ethereum technical picture
The short-term sentiment remains positive as long as it stays above $650 support created by upside trendline and 200-SMA on the hourly chart. Once it is broken, the sell-off may be extended towards $620 and $600 where fres buying interest is likely to appear. The critical resistance is seen at $700, followed by $730 (50% Fibo retracement level).
ETH/USD, the hourly chart