This is How Ethereum (ETH) Performed in 2024 So Far

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Ethereum (ETH) has broken through the $4,000 milestone for the first time since March, marking a pivotal moment in its 2024 trajectory. Fueled by record ETF inflows, surging institutional interest, and a notable shift in investor sentiment favoring Ethereum over Bitcoin (BTC), ETH has emerged as one of the standout performers in the digital asset market this year.

As of press time, Ethereum is trading at $4,001—up over 74% year-to-date from its January starting price of $2,356. Despite a slight 0.78% dip in the last 24 hours, the overall momentum remains strongly bullish, reigniting conversations around an impending "altcoin season."

Ethereum Outpaces Bitcoin Post-Election

Following the U.S. elections, Ethereum gained significant momentum relative to Bitcoin. A key catalyst was the announcement of SEC Chair Gary Gensler’s retirement on January 20, which eased regulatory concerns and boosted market confidence in Ethereum’s compliance trajectory.

According to Bybit’s December 5 “Volatility Review,” trader sentiment has shifted decisively toward ETH. The ETH/BTC price ratio climbed above 0.4, indicating growing preference for Ethereum in both spot and derivatives markets.

“After Gary Gensler’s resignation, ETH gained significant traction against BTC, as reflected by the sharp drop in the ratio between their spot prices on November 5 and November 21.”
— Bybit Volatility Review

This shift is further supported by options market data. Ethereum options pricing now shows stronger bullish skew compared to Bitcoin, suggesting that large traders and institutions are positioning for sustained upside in ETH.

👉 Discover how institutional confidence is reshaping crypto markets.

Record ETF Inflows Signal Institutional Confidence

Ethereum spot ETFs have become a major driver of demand in 2024. On December 6, these funds recorded their highest single-day net inflow ever—$83.76 million—according to analytics platform SosoValue.

Fidelity and BlackRock led the charge, contributing significantly to a ten-day streak of positive inflows. Cumulative net inflows have now surpassed $1 billion, underscoring robust institutional appetite for Ethereum exposure.

This surge isn't just about capital—it reflects a deeper belief in Ethereum’s long-term value proposition: smart contracts, decentralized applications, and its role as the backbone of Web3 innovation.

Additionally, whale activity has reinforced this bullish narrative. Data from Spot On Chain revealed that a major holder transferred 60,079 ETH (worth approximately $234 million) to Bitfinex after holding it for nearly six years.

Crucially, this whale acquired the tokens at an average cost of just $153—realizing a staggering profit of about $274.8 million, or a 20.7x return on investment.

Such strategic moves—holding through volatility and cashing out during strength—are classic indicators of long-term conviction. They also serve as psychological catalysts for broader market participants.

DeFi Growth Fuels Ecosystem Expansion

Beyond price action, Ethereum’s underlying fundamentals have strengthened dramatically in 2024. The decentralized finance (DeFi) sector has been a primary engine of growth.

According to DefiLlama, Ethereum’s Total Value Locked (TVL) surged from $30 billion to $78 billion this year—a 160% increase. This reflects growing trust in Ethereum-based protocols for lending, borrowing, yield generation, and asset management.

Daily Active Addresses (DAAs) have also climbed steadily, rising from 377,065 in late October to 412,655 at press time. Increased on-chain activity signals real user adoption—not just speculative trading.

Market sentiment data further validates this trend. Institutional sentiment currently stands at a bullish 1.74 on a -5 to 5 scale, outpacing retail sentiment at 1.07. This gap suggests that professional investors see greater long-term potential in Ethereum than retail traders do—at least for now.

👉 See how DeFi innovation is accelerating on leading blockchain platforms.

Technical Analysis: Is $10,000 the Next Target?

From a technical standpoint, Ethereum’s breakout potential looks increasingly promising.

On December 7, analyst Captain Faibik highlighted that ETH has broken out of a major triangle pattern on its weekly chart—a structure that had formed over months of consolidation. Historically, such breakouts precede strong bull runs.

If momentum holds, this pattern could propel Ethereum toward a midterm target of $10,000 by 2025—an upside of more than 150% from current levels.

Another well-known analyst, Ted, echoed this outlook:

“ETH is finally approaching its moment… once it clears $5,000, expect a rapid surge similar to Bitcoin’s historic rallies.”

Crossing $5,000 would likely trigger algorithmic buying and renewed retail FOMO (fear of missing out), accelerating upward movement.

Technical indicators like the Relative Strength Index (RSI), Moving Averages, and On-Balance Volume (OBV) all support continued bullish momentum—provided key support levels around $3,600 hold during any pullbacks.

Frequently Asked Questions (FAQ)

Q: What caused Ethereum to surpass $4,000 in 2024?
A: A combination of record ETF inflows, post-election regulatory clarity following Gensler’s resignation announcement, strong whale accumulation and profit-taking patterns, and expanding DeFi activity all contributed to Ethereum’s rally past $4,000.

Q: How does Ethereum compare to Bitcoin in performance this year?
A: While Bitcoin also performed well, Ethereum outpaced it with a year-to-date gain of over 74%, compared to BTC’s more moderate appreciation. The rising ETH/BTC ratio indicates growing investor preference for Ethereum’s ecosystem and utility.

Q: Are Ethereum ETFs performing well?
A: Yes—Ethereum spot ETFs recorded their largest single-day net inflow on December 6 ($83.76 million), led by Fidelity and BlackRock. The funds have seen ten consecutive days of inflows, surpassing $1 billion in cumulative net investment.

Q: What is Total Value Locked (TVL) and why does it matter?
A: TVL measures the amount of capital deposited in DeFi protocols. Ethereum’s TVL grew from $30B to $78B in 2024, signaling increased trust and usage of its network for decentralized financial services.

Q: Can Ethereum really reach $10,000?
A: While no price prediction is guaranteed, technical analysts point to a completed triangle breakout on the weekly chart and strong institutional backing as potential catalysts for a move toward $10,000 by 2025—if macro conditions remain favorable.

Q: What risks could affect Ethereum’s price?
A: Regulatory uncertainty, broader market corrections, delays in protocol upgrades, or competition from other smart contract platforms could pose risks. However, Ethereum’s first-mover advantage and developer dominance continue to provide strong resilience.

Core Keywords

Ethereum’s performance in 2024 has firmly reestablished its leadership in the cryptocurrency ecosystem. With accelerating institutional adoption, explosive DeFi growth, and strong technical momentum, ETH is not only keeping pace with Bitcoin—it's beginning to lead the next phase of blockchain innovation.

As market dynamics evolve and investor focus shifts toward utility-driven assets, Ethereum stands at the forefront of a new digital economy.

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