Kaleo, one of the well-known cryptocurrency whales, predicts that Ethereum will return to the levels at which it was traded around this time last year. However, there is an important condition for this altcoin rally…
‘One last test before the rally’
According to the popular crypto whale, Ethereum could explode up to 50% under favorable conditions. The analyst’s rally expectation is based directly on Bitcoin’s price movements. Bitcoin’s rise will lead to a general mood of optimism in the altcoin market, thus repeating the bull cycle of the leading altcoin.
However, despite this optimistic scenario, Kaleo warns that Ethereum may still fall in the short term. In his analysis, he mapped a correction where ETH price fell by 1,600 ahead of this rally.
Analyst expects leading altcoin to return to LUNA collapse levels
“My best scenario for ETH is to wait for it to drop to $1,600 first,” Kaleo said. It will then go up to around $2,400 to retest pre-LUNA/UST levels.”
Ethereum is currently trading at $1,803.57. It has lost more than 5% in value compared to last week. According to Kaleo’s predictions, an ETH price that will reach the $2,500 region will first gather new buyers at $1,600.
Kaleo is not alone
According to another crypto expert nicknamed Bluntz (Altcoin Sherpa), Ethereum will visit around $1,600 levels before ending the current correction, similar to Kaleo’s predictions.
Bluntz says that ETH is currently in a highly volatile market. However, he states that he is unsure where to look for long positions. However, he predicts it will likely find support somewhere between $1,600 – $1,700.
Recently, the cryptocurrency market has been quite volatile. Most cryptocurrencies are quietly and slowly returning their gains. The negative atmosphere has previously forced several analysts to make bearish predictions about ETH. However, current on-chain data shows that the situation is actually quite different.
ETH supply on exchanges is heading towards a new low
This metric, put forward by Santiment, forced analysts to change their minds about ETH. According to Santiment, the percentage of Ethereum on crypto exchanges has dropped to an eight-year low.
Despite ETH falling to $1,780 today, the percentage of ETH on exchanges remains at its lowest level (10.1%) since public trading began in 2015. This was also recorded as an all-time high for over-the-counter assets.
Balances are changing in the altcoin market
According to Osmo’s May 12 tweet, the Tron network has reached a milestone in daily active addresses, surpassing leading networks like Ethereum and BNB Chain. According to data from Token Terminal, it has witnessed an impressive number of more than 1.9 million daily active addresses, surpassing BNB’s number of 1.4 million.
$TRX overtakes $ETH and $BNB with the highest number of daily active users.
How did @trondao manage to do this? pic.twitter.com/1guznITMQe
— Emperor Osmo🧪 (@Flowslikeosmo) May 12, 2023
cryptocoin.com As you follow, the Ethereum network experienced 2 outages of up to 25 minutes on May 11 and 12. The Pepe Coin rally and interest in BRC-20 tokens are driving Ethereum gas fees.
