As November draws to a close, market observers are buzzing with predictions of a potential year-end rally for Ethereum (ETH). After a recent market correction saw the cryptocurrency retest the critical $3,000 barrier, analysts are now eyeing a significant jump, possibly up to 50%, fueled by an upcoming network upgrade.
Ethereum Navigates Key Resistance Levels
Ethereum recently experienced a 4.4% daily surge, briefly touching the $3,000 level for the first time in nearly a week before facing rejection. This movement occurred amidst a broader market correction that also affected Bitcoin. Analyst Ted Pillows noted ETH's struggle to reclaim the $2,950-$3,000 zone, suggesting a potential for new lows if this resistance isn't overcome. Conversely, a definitive break above this psychological barrier, backed by strong volume, could propel ETH towards the $3,400 mark.
The Fusaka Upgrade: A Potential Catalyst for Growth
A significant factor driving bullish sentiment is the anticipated Fusaka upgrade, scheduled for December 3. This upgrade is touted as Ethereum's most substantial improvement since "The Merge," aiming to address crucial data availability bottlenecks for rollups. Historical performance provides a compelling precedent: following the network's Petra upgrade in May, ETH soared by approximately 50%, jumping from $1,800 to $2,700 within a week, and later achieving an all-time high of $4,946 in Q3. Analysts suggest that a similar post-Fusaka performance could see ETH's price surge past the $4,000 resistance in the coming weeks.
Broader Market Outlook and ETH Dominance
Beyond specific upgrades, the broader market context also points to a positive outlook for Ethereum. Market watcher Merlijn The Trader highlighted that ETH is exhibiting a "textbook wave structure" that has historically preceded strong upward moves. This pattern suggests the current corrective phase might be concluding, paving the way for another rally. Additionally, Rek Capital observed that Ethereum's dominance continues to hold a consolidation zone that predated its 2021 bull run. Maintaining ETH's dominance above 10.05% is crucial for positioning it for higher market dominance levels over time, indicating a robust underlying strength against Bitcoin and the wider cryptocurrency landscape.
