$4,000 for Ethereum? Van de Poppe Sees Short-Term Top & Flags a Big Altcoin Bull Run Building

The Ethereum price fell as low as $3,670 yesterday after the FED chairman announced that they are not planning to cut interest rates and they will remain the same, around 4.25%-4.50%.

Although this downward impulse did not last long, it returned to the price of $3860, absorbing all the sell pressure.

Volatility has relaxed ever since and may mark a potential pump following the drop. According to Van de Poppe, the current trend might create a temporary high around the $4,000 level, where short-term resistance exists and traders would be willing to take profits, allowing the market to absorb recent gains.

The current stagnation of Ethereum’s price below the $4,000 mark appears to be an immediate exhaustion point, beyond which market traction may first decrease and then later resume overall trends.

Broader Implications for Altcoins & Ethereum

An even bigger theme, as Van de Poppe points out, is an all-time high altcoin bull market in the next 12 to 24 months.

Ethereum is keeping its ground, reducing market volatility, and showing a potential short-term reset at the top around the $4000 level. When combined, all of these conditions create an environment where capital can shift to higher-beta, or more volatile, assets after profit-taking occurs.

If Ethereum experiences a slight dip after reaching its short-term top, it will present a great purchasing opportunity compared to other altcoins, and the subsequent bounce will likely lead to gains in those altcoins.

Such windows are watched by investors and traders who will want to re-enter protocols that perform well when the fear of liquidity and risk-seeking behaviors is lifted.

What this implies is that Ethereum can handle selling pressure and retraces appropriately with stability and resiliency, and can be a reliable foundation during the next phase of growth across the entire market.

Market and Strategy Outlook

The players in the market should see the levels around the price of $4,000 on Ethereum, look towards a brief reversal, and monitor the buying opportunities, which will arise in both ETH and in altcoins that may not yet be highly successful.

The longer-term forecast is optimistic, assuming that the underlying conditions remain friendly and institutional or retail flows continue.

Unless the current consolidation progresses into an all-out pullback, van de Poppe suggests an intermediate stance: neutral in the near term to wait until the (temporary) reset is over. During the correction, there might be an opportunity to buy altcoins and find a bottom to capitalize on their longer-term uptrend.