The Ethereum price had a successful first quarter as its price surged by more than 160%. It outperformed Bitcoin, whose price rose by more than 100% and its total market cap rose to more than $200 billion. The ETH price is trading at $1,917, which is slightly lower than the all-time high (ATH) of more than $2,000.
What happened: The first quarter was a relatively successful period for Ethereum and other digital currencies. While Ethereum costs increased, demand for its network continued rising. For example, the expansive DeFi industry saw its total value locked (TVL) surging to more than $45 billion. Other platforms built on its network like Tether and Wrapped Bitcoin also surged.
However, in the quarter, Ethereum also faced rising competition from proof-of-stake platforms that are faster and less expensive. Among the notable ones are Cardano, Polkadot, and Solana. Indeed, these altcoins also had a relatively successful quarter.
Looking ahead, in the second quarter, Ethereum price will react to the performance of the US bond market and the US dollar. A stronger US dollar will likely lead to a weaker Ethereum because the two have an inverted relationship.
Ethereum price forecast
The daily chart shows that the ETH price has been in a relatively strong upward trend. It is a few points below the all-time high of $2,000. It has also moved above the ascending channel that is shown in black. Also, it has moved above the short and longer moving averages. It also seems to be forming an ascending triangle pattern.
Therefore, in my view, as I had predicted a few months ago, the Ethereum price will keep rising as bulls target the important resistance level at $2,500. This will likely happen in the second quarter of the year. This price is just 30% from the current level.
ETH price chart