The market price of ETH is skyrocketing!? What will happen to ETH in the future?

I will not go into details, but with the establishment of the administration of Donald Trump, who had pledged to "treat crypto assets" during the US presidential election period, the market price of crypto assets, especially BTC, has been rising since the end of 2024.

In particular, it is generally said that the price chart of ETH tends to be greatly influenced by the trend of BTC. This time, as BTC rose significantly, ETH also rose significantly in a follow-up manner, and this movement was in line with the conventional wisdom.

Like other crypto assets, ETH is also considered to be a product with very high volatility*1, but it tends to be relatively stable compared to other crypto assets. From a long-term perspective, the fact that it has been steadily increasing since its birth in 2015 is a major attraction.

The DAO incident once gave the appearance of a bubble burst, but it attracted attention again with the DeFi boom in 2019, and the price gradually recovered. During the crypto winter of 2022, ETH also fell sharply and entered a correction phase.

While other cryptocurrencies recovered, ETH's price did not recover easily due to the major event of the upgrade to Ethereum 2.0. Therefore, for those who continued to hold ETH, this rise will finally feel like a thaw.

So, what will be the price trend of ETH from now on? The point of interest will be the progress of the major upgrade, which is a unique situation for Ethereum.

Not only ETH, but financial products in general have event-driven price movements, but ETH has many special events such as the Ethereum network upgrade, trends in the DeFi and NFT markets, and comments by Buterin. We have seen a tendency for events to have a major impact so far.

This means that the progress of the major upgrade "Pectra" scheduled for 2025 may affect future price movements. Observing user reactions and opinions after the next hard fork to Pectra will help predict market prices.

In addition, stakeholders have stated that the first phase of the update to Pectra will be implemented around February. This means that if the update does not progress smoothly even after February, the price is expected to fall.