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ETH price euphoria fades, but $5K remains the end-of-year target: Analyst

  //stocks-investing.news-articles.net/content/202 .. t-5k-remains-the-end-of-year-target-analyst.html
  Published in Stocks and Investing on Wednesday, September 24th 2025 at 19:59 GMT by CoinTelegraph
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Ethereum’s Euphoria Dims, but the $5,000 Finish Line Remains in Sight
(Summary of Cointelegraph coverage – “ETH price euphoria fades but $5k remains the end‑of‑year target – analyst”)

Ethereum’s price narrative has shifted in the past few weeks. After a series of rapid rallies that sent the digital asset past the $4,200 level, traders are witnessing a pullback and a growing sense of caution. Yet, despite the retreat, a leading analyst from the Cointelegraph community remains bullish on the coin’s trajectory, pointing to a $5,000 target for the rest of the year. This article condenses the key take‑aways from the original Cointelegraph piece and explores the context that fuels such a forecast.

1. The Price Trajectory in the Last 30 Days

• Rally and Retracement: Ethereum surged from roughly $3,900 in late May to an intraday high of $4,280. That spike was driven by optimism around the London hard‑fork’s fee‑market changes (EIP‑1559) and a wave of new institutional traders entering the space.
• Current Range: As of the latest close, ETH trades around $3,950, below the 50‑day simple moving average (SMA) of $4,120 but still above the 20‑day SMA of $3,800.
• Technical Indicators: The Relative Strength Index (RSI) sits near 58, suggesting neither extreme over‑bought nor over‑sold conditions. The MACD line remains slightly below the signal line, which is generally interpreted as a bearish sign.

2. The Analyst’s Thesis

The analyst, whose profile is linked in the Cointelegraph article, emphasizes that the recent retracement does not invalidate the medium‑term bullish case. Here are the core pillars of his argument:

3. The $5,000 Target – How It’s Calculated

The target of $5,000 is derived from a combination of technical and fundamental factors:

1. S3 Support Resurgence – The analyst notes that the previous S3 support zone (around $3,400–$3,500) has now turned into a resistance level. If ETH breaks above $4,500, the S3 zone can pivot into a new S4 support, enabling a climb toward $5,000.
2. Historical Price Action – Historically, ETH has climbed from a $3,800 baseline to $5,000 in roughly 90 days during strong bull runs. The analyst projects a similar timeframe.
3. On‑Chain Growth Metrics – The increase in active addresses, smart‑contract deployments, and DeFi token issuance suggests a higher network demand, which traditionally correlates with price appreciation.

4. Risks That Could Stall the Rally

While the bullish outlook is clear, the article also highlights several headwinds:

• Regulatory Scrutiny – Emerging regulations in the U.S. and EU around crypto derivatives and stablecoins could dampen market sentiment.
• Competing Layer‑1s – Platforms such as Solana, Polkadot, and Avalanche continue to attract developers, potentially diluting Ethereum’s share of the developer community.
• Macro‑Economic Headwinds – Inflationary pressures and potential tightening of monetary policy might lead investors to favor “risk‑off” assets over cryptocurrencies.
• Technical Glitches – The upcoming Shanghai upgrade, which introduces new deposit and withdrawal mechanisms, could surface unforeseen bugs affecting price stability.

The analyst cautions that any significant breach of the $3,600 support or a failure to break above the $4,500 resistance could invalidate the $5,000 target.

5. Supporting Sources and Further Reading

The Cointelegraph article links to several external resources that deepen the analysis:

• Ethereum Foundation – Official Update on EIP‑1559: Provides the latest on fee‑market mechanics and upgrade timelines.
• TradingView Chart Embedded in the Article: Offers real‑time visual confirmation of the price levels and technical indicators mentioned.
• Analyst’s Twitter Thread: Shares real‑time commentary and clarifications about the forecast.
• CoinGecko Metrics: Displays on‑chain data such as daily active users and transaction volume.

These links enrich the narrative and allow readers to verify the data points that underpin the $5,000 projection.

6. Bottom Line for Investors

Ethereum’s recent retracement is a normal market correction following a sharp rally. The analyst’s forecast remains anchored on robust fundamentals and supportive technical levels. If the price manages to maintain its current support and break through the $4,500 resistance, a climb to $5,000 by year‑end is within reach. However, investors should remain vigilant about regulatory and macro‑economic developments that could derail the rally.

As always, diversification, risk management, and staying informed through reputable sources such as Cointelegraph, Ethereum’s own announcements, and on‑chain analytics are essential for navigating the volatile crypto landscape.