It seems that the crypto market is still going strong. Most cryptos gained an average of more than 6% in the past 24 hours alone. Since the beginning of the year 2023, that number goes up to more than 20%. Ethereum specifically managed to break the resistance price of $1,400 and reached a current price of more than $1,600. Will Ethereum continue to go up? Let’s analyze in this Ethereum prediction.
Can you still Mine Ethereum in 2023?
After the merge, Ethereum switched to the proof-of-stake consensus mechanism. Since then, people cannot mine Ethereum anymore. This was intended to increase the efficiency and scalability of the Ethereum network and reduce its environmental impact. However, people can stake ETH and earn rewards by holding and “staking” ETH on the Ethereum 2.0 network. In a PoS system, validators are chosen to validate transactions and create new blocks based on the amount of cryptocurrency they have “staked” or locked up as collateral.
Ethereum Analysis January 2023: Why is ETH up?
After a long consolidation in prices since June 2022, Ethereum prices seem to have finally retraced higher. In figure 1 below, we can clearly see how Ethereum price broke the descending triangle pattern. This usually signals an upcoming uptrend.
On the other hand, the entire crypto market is looking strong, which confirms that Ethereum is up for an uptrend in the medium term.
Ethereum Prediction: Will Ethereum reach $2,000?
For the short term, Ethereum price might retrace lower as part of an adjustment after a strong increase in prices. This is most probably due to profit-taking. However, Ethereum can easily continue higher and reach the psychological price of $2,000. In figure 2 below, we can see how this specific price represented a strong resistance to prices. Now that Ethereum is on an uptrend, the next target would be this 2K price mark.
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