As 2024 draws to a close, Ethereum price fluctuations are being closely monitored. The cryptocurrency’s trajectory is significantly influenced by key resistance and support levels, as indicated by a recent analysis by cryptocurrency experts that suggests a cautiously hopeful outlook.

Crucial price levels to monitor

Analyzing cryptocurrencies, Justin Bennett emphasized the importance of Ethereum regaining the $3,540 level during the week of December 22. This price range is considered necessary to show a potential market shift towards optimism.

If Ethereum is unable to overcome this barrier, there is a risk of falling below the significant support zone at $3,000, leading to a decline towards $2,600. For investors and speculators, a decline to this extent would be costly.

Even though my overall setup will be bullish for 2025, buyers still have work to do.

For example, $ETH needs to recover $3,540 on a weekly basis to look bullish next week.

Buyers have 33 hours to do so.#Ethereum pic.twitter.com/cAChCbJxjd

— Justin Bennett (@JustinBennettFX) December 21, 2024

Market sentiment and analyst forecasts

An analysis by Crypto firm Titan, which used its Ichimoku cloud-based approach to predict the likely recovery, further strengthens optimism around Ethereum.

The analyst noted that Ethereum has retested some critical levels, which gives the impression that the current correction cycle is coming to an end. The strength of Kumo Cloud’s support line indicates that Ethereum could provide a base for higher moves if it manages to maintain existing levels.

Whales escalate accumulation

Meanwhile, Ethereum whales expanded their holdings and in just a few days accumulated approximately 340,000 ETH worth over $1 billion. This escalate in accumulation shows that enormous investors are becoming more confident in the altcoin’s prospects.

Ethereum Whales bought $1 billion worth of ETH in the last 96 hours – details https://t.co/fZe8jWmQ3S

— Jose JM (@CryptoJoseJM) December 22, 2024

Additionally, spot Ethereum ETFs have recorded over $2 billion in inflows since their launch in the US, indicating growing interest in these instruments. If regulators allow investing in these funds, analysts predict that this trend could surpass Bitcoin ETFs by 2025.

Ethereum Price Forecast

At the time of writing, Aether was listed at $3,330a decline of 0.7% and 15.7% on a daily and weekly basis, according to Coingecko data.

Based on the current state of the Ethereum market, there will likely be a positive uptrend over the next week even though Ether numbers will flash red on the charts.

Analysts are hopeful about its chances of a rebound, even though it is trading at a 21% discount to its value for the month.

Source: CoinCheckup

Technical indicators such as the relative strength index (RSI) and moving averages indicate a potential breakout that could test critical resistance levels.

Ethereum is expected to experience solid growth in the medium to long term, with a 35% price escalate over the next three months and a remarkable 100% escalate within a year, according to projections.

Featured image from DALL-E, chart from TradingView