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BitMEX founder dumps Solana for Ethereum, forecasts $5,000 per ETH

  • BitMEX founder Arthur Hayes recently tweeted that he is exchanging his Solana for Ethereum.
  • Hayes said that he is expecting ETH to hit an all-time high of $5,000.
  • Ether price has risen 89% year-to-date, while Solana has registered a whopping 784% increase and Avalanche sits at 325% gains. 

BitMEX founder Arthur Hayes posted on social media platform X (formerly Twitter) that he has traded his Solana (SOL) holdings for Ethereum (ETH). 

Hayes has been a strong proponent of Solana and expects the altcoin to reach $100, but in his recent post says that he has “dumped” Solana for Ethereum. Additionally, BitMEX founder forecasts ETH to hit $5,000 per coin, which would be a new all-time high. In the last bull cycle, ETH touched an all-time high of $4,868 but failed to reach this round psychological level. But considering the current bullish outlook and the chances of an ETF approval for Bitcoin, the chances Ethereum price rises to $5,000 is high. 

Hayes is not alone in his support for Ethereum; reports from JP Morgan analysts also have a similar view on Ether and indicate that Ethereum will outperform Bitcoin in the long run. Raoul Paul agrees with this outlook. He states in his recent tweet,

I think ETH outperforming BTC will be a key macro trend of 2024

Read more: Ethereum price likely to outperform BTC says JP Morgan report, but short-outlook remains flat despite ETF hype

Ethereum price to reach new yearly highs soon

Ethereum price is currently showing strength on the 4-hour chart as it has breached a short-term downtrend and signals a potential run-up. This recent breakout has strength, considering that the Relative Strength Index (RSI) and Awesome Oscillator (AO) have both flipped above their respective mean levels.

This development indicates that the bullish momentum is on the rise, which further supports the bullish thesis. 

Additionally, the month of December is quite well-known for the Santa Rally, which is a historical tendency for stock markets to experience a rise in prices during the last trading week of December and the first few trading days of January. It is often observed as a period of increased buying activity fueled by factors like holiday cheer, investor optimism and so on. 

All in all, investors can expect Ethereum to overcome the $2,160 to $2,403 range and tag the 161.8% Fibonacci level at $2,552. This move would constitute a near 11% gain from the current level of $2,295. 

ETH/USDT 4-hour chart

ETH/USDT 4-hour chart

On the other hand, if Ethereum price breaches the range low of $2,160, it would invalidate the bullish thesis by producing a lower low. In such a case, ETH could revisit the $2,100 support level.

Also read: Ethereum Price Annual Forecast: Spot ETF and sharding to drive ETH beyond $4,000 in 2024

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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