Ethereum (ETH), up to $12,000?..."Will Rise with its Leap as a World Computer"

▲ Ethereum (ETH)/ChatGPT generated image

An optimistic outlook suggests that Ethereum (ETH) could reach a high of $10,000 if it breaks through the long-term resistance level of $5,000, driven by increased institutional adoption and its evolution into a 'world computer'.

Benzinga reported on September 29 (local time), citing an analysis by John Gillen, an analyst at Milk Road, that if Ethereum surpasses its long-standing resistance of $5,000, it could embark on a rally that would see it rise from $6,000 to $10,000, and even further to $12,000. The full-fledged movement of institutional investors' on-chain assets and its evolution into a 'world computer,' a global computing platform, were cited as key grounds for the long-term bullish outlook. Gillen analyzed that if Ethereum stably surpasses the $5,000 mark, it could be a signal for a massive re-injection of speculative funds across the altcoin market.

Bitcoin's (BTC) recent upward trend is also a factor raising expectations for further Ethereum price increases. With Bitcoin ending its sideways consolidation that lasted several months and simultaneously breaking above the $83,000 mark and its 50-week moving average, the overall bullish momentum in the virtual asset market has significantly strengthened.

However, Gillen maintained a cautious stance, stating that this upward scenario is not yet fully guaranteed. The biggest key challenge that will determine future price direction is whether Ethereum can maintain its share of transaction activity when traditional financial institutions transfer more assets onto the blockchain. He explained that whether the network can maintain this share will determine if it stays at $6,000 or surges above $12,000.

As institutional adoption of Real World Asset (RWA) tokenization and infrastructure accelerates, the market is closely watching Ethereum's ability to maintain its on-chain competitiveness. Market attention is focused on whether Ethereum can enter a new price discovery phase if long-term fundamental improvements coincide with a breakthrough of technical resistance.

[Key Article Summary]

-Milk Road analyst John Gillen predicted that Ethereum (ETH) could rise from $10,000 to $12,000 if it breaks above $5,000.

-While Bitcoin's (BTC) breakthrough of $83,000 supports market momentum, stable establishment above $5,000 was identified as key for altcoin fund inflow.

-Ethereum's ability to maintain its on-chain share amidst asset movements by traditional financial institutions was identified as the variable that will determine the final target price.

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