- Ethereum’s performance is increasingly seen as critical for the survival of the broader altcoin market
- Technical analysts point to RSI structures that previously led to major ETH rallies
- Short-term forecasts remain modest, even as long-term targets stretch much higher
Ethereum and Bitcoin have both been stuck in a choppy stretch lately, moving up, pulling back, then repeating the cycle as fresh macro headlines keep shaking sentiment. Neither asset has been able to hold momentum for long, and that’s made traders cautious, if not outright impatient. The question hanging over the market now is whether Ethereum can find its footing before January 2025 wraps up, or if this drift continues a bit longer.
At the time of writing, ETH is trading around $3,116, down about 1% over the past 24 hours. It keeps attempting to climb, but each push higher seems to run into resistance tied to shifting economic expectations. That uncertainty is bleeding into the broader altcoin market too, whether people like it or not.
Why Ethereum’s Performance Matters for Alts
According to Ash Crypto, Ethereum’s long-term performance may be the deciding factor for the rest of the altcoin space. His view is blunt. If ETH fails to print a new all-time high in 2026, the case for holding most altcoins weakens significantly. In that scenario, patience stops being rewarded.
He points out the uncomfortable comparison with Bitcoin. BTC managed a clean 2x from its 2021 peak, while Ethereum lagged behind, even from cycle lows. That’s despite Ethereum having deep institutional adoption, solid tokenomics, dominance in DeFi and real-world assets, and now spot ETFs. If ETH underperforms with all of that going for it, he argues, smaller and newer altcoins won’t stand a chance.
Technical Signals Hint at a Shift
Not everyone shares that pessimism. Analyst Javon Marks believes Ethereum may be setting up for something much larger. He’s focused on a specific RSI structure that, historically, has preceded strong ETH rallies. In past instances, similar setups led to average gains north of 120%, and sometimes more.
Marks suggests that the recent strength in Ethereum could just be the opening act. If this RSI pattern continues to unfold the way it has before, ETH may reclaim lost ground faster than many expect, with altcoins tagging along for the ride. It’s not a guarantee, but it’s enough to keep bulls engaged.
How High Could ETH Go From Here
Looking further out, Marks believes Ethereum could eventually push toward the $8,500 region if the pattern fully plays out. He notes that the last time this RSI structure appeared, ETH rallied more than 160%. A similar move from current levels would put that $8,500 target firmly in view, though not without plenty of volatility along the way.
More conservative projections paint a different picture. CoinCodex data suggests Ethereum could reach around $3,487 by early February 2026. Shorter term, by the end of January, ETH is projected to trade near $3,264. Those forecasts come alongside a still-bearish technical sentiment and a Fear & Greed Index reading of 27, firmly in fear territory.
Ethereum has logged 16 green days out of the last 30, with price volatility sitting near 3.9%. It’s not explosive, but it’s not dead either. For now, ETH remains caught between bold long-term hopes and cautious near-term reality.
