Ethereum bulls are expected to prepare for a price rally that will take the crypto towards $2,000 in the next several weeks or months, according to a recent analysis given by Jebb McAfee.
The independent market analyst discovered a flurry of upward fundamentals, ranging from ETH’s growth as a decentralized application (DApp) server to its increasing search volume on Google; before turning all bullish on the world’s second-biggest crypto.
Bitcoin Dominance
In the meantime, Mr. McAfee also mentioned bitcoin, Ethereum’s contender for the top spot, s the key catalyst behind its possible bull run ahead. He mentioned bitcoin’s growing dominance as a major indicator of Ethereum’s upside move, citing how a drop in the top crypto’s market cap in December 2017 cleared the way for ETH/USD to reach an all-time high of $1,419.
A plunge in bitcoin dominance in 2017 followed an ETH price rally to its record high.
The pair’s reactive rally was somehow psychological. A wild upswing in the bitcoin market pushed traders into exploring the next-best crypto. ETH benefitted majorly in December 2017 and it expects to repeat the fundamental fractal in 2021. McAfee asserted:
“I believe Bitcoin going through a massive rally is building trust among the investors in a bull market. And that trust is going to flow over [into Ethereum] and its rally itself.”
This statement came up as Ethereum enjoyed a major upside momentum. Interestingly, the crypto gained almost 60% from $730.97 to $1,168.99 within three days of trading. In that context, the Bitcoin Dominance corrected lower. Most recently, ETH/USD was trading 15% lower from its session high.
The ‘Google’ Factor
Mr. McAfee also favored Ethereum’s $2,000 target according to its prominence in the decentralized finance (DeFi) ecosystem. The experienced analyst mentioned that growth from DeFi protocols might flow into the ETH token eventually. That might happen just as Google’s search engine benefits from the growth of the general tech industry on increasing query volumes. McAfee explained:
“We are going to see the same thing over the next 5-10 years as Ethereum continues to develop different projects that are going to lead the adoption of the ETH coin inevitably.”
The current trend showed a rising interest in the ETH ecosystem. The Google Trends search volume for the ‘Ethereum’ keyword acquired a perfect weekly score of 100. It indicated that an increasing number of internet users, including potential institutional and retail investors, have searched above the crypto in the past week.
In the meantime, the keyword score reached its peak levels in the past 3 years on a 5-year timeframe. That also increased Ethereum’s possibility of resuming a strong uptrend after the recent bearish correction.
