Ethereum to hit $7K by year-end if these key factors align

As the optimistic sentiment in the cryptocurrency industry persists, Ethereum (ETH) could be looking at a massive price increase to the area of $7,000, provided that it succeeds in meeting several important conditions that will make this possible.

Specifically, Ethereum has already managed to soar above the massively important level of $4,300, now trying to get past $4,400, and more than one crypto expert believes that this is just the beginning of its powerful surge toward $7,000, including pseudonymous VirtualBacon.

Indeed, this crypto analyst acknowledged that Ethereum hasn’t even broken its all-time high (ATH) of $4,850 yet and, if it does, “$6K-$7K is in play before year-end,” as he explained in an X post on August 12. He has also provided a roadmap for this scenario, starting from ETH at $4,300.

According to VirtualBacon, “ETH is in its strongest uptrend vs BTC since 2021,” and its recent rally “has opened the door for much higher prices into year-end,” setting his conservative target at $6,600, and his trading setup between $3,350 (key higher low from July and uptrend support) and $4,850.

Additionally, he noted that institutional flows were turning bullish for Ethereum, with exchange-traded funds (ETFs) and treasuries holding 7.1 ETH, worth about $24 billion in July, which is today worth $33 billion. As he pointed out, “ETH ETFs saw $460M inflows, more than BTC’s $400M” on August 8.

Furthermore, VirtualBacon stressed that Ethereum’s lower market capitalization meant institutional investments had more price impact than into Bitcoin, looking at “$3,350 as the floor unless BTC itself dumps hard,” opining that the strongest obstacle to $6,000 was $4,850, the clearing of which should happen in Q4.

Ethereum’s road to $7K with BTC’s help

Moreover, “BTC dominance tells us altseason is starting but not confirmed,” as “we dipped from 60.5% to 59.7%, the first sign of a possible downtrend since 2021.” In this case, a weekly close below 60.5% and a lower high under 62.5% would indicate confirmation.

At the same time, this crypto expert believes that stablecoins are the stealth driver of Ethereum’s bullish advance, with nearly all USDC/USDT supply sitting on ETH. This is one of the reasons why he told his followers his game plan was to:

• Hold ETH above $3,350 support.
• Focus on ETH-beta DeFi & stablecoin plays.
• Rotate into alts that have lagged when Bitcoin dominance confirms a breakdown.
• Stay patient, Q4 is when the big moves likely hit.

At the same time, fellow crypto trading analyst Ali Martinez has listed $5,210 and $6,946 as the next targets for Ethereum based on the market value to realized value (MVRV) pricing bands, which represent multiples of the realized price, indicating different valuation levels.

Meanwhile, Ethereum’s price at press time stood at $4,356, indicating a 3.93% growth in the last 24 hours, as well as advancing 19.25% across the previous seven days, and as much as 46.64% on its monthly chart, as per the latest data from CoinMarketCap on August 12.

All things considered, Ethereum is currently in an upward trend, approaching historically significant overvaluation zones, and the steady rise in realized price supports a generally positive long-term market structure, possibly even ending up in the $7,000 zone.