In the last few days, the Ethereum course first had to deal with a massive drop, but it was able to recover very well after these losses.
The Ethereum price increased tremendously as a result of the banking crisis. After a short-term drop below US$1,400, the price was recently able to rally back above US$1,600. The great bull run of the last few days is making Ethereum very strong again at the moment.
In the past few days, the Ethereum price fell from $1,520 to $1,380. The reason was the insolvency of the two big American banks, Silvergate and Silicon Valley Bank.
However, after this incident, the recovery began immediately. The price rallied very quickly above the $1,400 mark. After that, a strong rally began, which took the Ether price first above $1,500 and then above $1,600. The Ethereum course followed the Bitcoin course, which could also explode.
What is the Ethereum Forecast for the Next Weeks?
Due to the price increase of the last few days, investors expect a positive forecast for Ethereum in the coming weeks. The price of Ether could rise so high that a rise to $2,000 in the next 1-2 weeks no longer seems unlikely. The current momentum could be positive for the Ethereum forecast.
It must be taken into account that Bitcoin and Ethereum, as the largest cryptocurrencies, are benefiting from the collapse of the banks in the USA. The insolvency of Silicon Valley Bank, which was listed among the 15 financially strongest banks in the US, sent a tremor through the classic financial markets. Ethereum’s extremely fast recovery caused strong momentum.
How High Can the Ethereum Price Go?
The Ethereum price could continue to increase significantly in the coming weeks. That also largely depends on how central banks react to bank failures. The Fed recently announced that interest rates would rise further. Due to the banking crisis, they might reformulate their strategy and consider smaller interest rate increases, or even a suspension of interest rate increases.
In such a case, that should boost the crypto market. The Ethereum price could benefit so much that it could actually go as high as $2,000. However, a rate of $2,500 seems a bit high here. Because we are still in the bear market and well before the Bitcoin halving, which triggers a supply shock and leads to altcoin stimulation.
An Ethereum forecast of $1,800 to $2,100, over the next six to eight weeks, is then assumed.
To conclude, is it worth buying Ethereum over Bitcoin? In recent weeks, Ethereum has been able to perform slightly better than Bitcoin, which had a slight edge in bullish January. Bitcoin will likely remain the safest investment, while Ethereum may trigger stronger price jumps. Therefore, you should think carefully about which investment is most suitable for you.
By Audy Castaneda