Q2 Outlook For Ethereum: Can ETH Overcome Its Disappointing Q1 Performance?

Source Newsbtc

Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has experienced one of its most challenging starts to the year, recording its second-worst performance in the first quarter of its history. 

As of now, ETH is trading just above the crucial support level of $2,000, reflecting a year-to-date decline of 43%. This stark contrast is particularly notable when compared to Bitcoin (BTC) and XRP, which have seen gains of 23% and an astonishing 279%, respectively, during the same period.

Could A 60% Surge In Q2 Bring It Back To $3,200?

Market expert Lark Davis has drawn attention to the dramatic downturn in Ethereum’s price in a recent social media update, highlighting a 38% drop in Q1 of this year for the altcoin. 

This figure is alarmingly close to its worst quarterly performance of 46% recorded during the first quarter of 2018, as noted in the comparison chart shared by Davis. 

Ethereum

Following that troubling quarter in 2018, Ethereum saw a brief recovery of 15% in Q2, only to face more than 40% declines in the subsequent quarters, respectively, raising concerns for current investors that this pattern might occur once again in this cycle.

Despite these discouraging figures, Davis posed an interesting question regarding the potential for an “explosive” second quarter for Ethereum. Historically, since 2016, ETH has averaged a remarkable 66% surge during this period. 

If this trend continues and the Ethereum price were to achieve a 60% increase in the coming months, its price could climb to $3,200 per token—levels not seen since early February of this year.

Crypto Expert Predicts 1,100% Surge For The Ethereum Price 

While short-term challenges remain, many analysts retain a long-term bullish outlook for Ethereum. Crypto analyst Merlijn drew parallels between the current market conditions and Bitcoin’s past performance, suggesting that Ethereum is poised for a similar trajectory. 

The analyst noted, “Accumulation, breakout, and V-shape recovery loading,” implying that a new bull run could be on the horizon for ETH, with forecasts suggesting it could reach up to $24,000 during this cycle—a major 1,100% increase.

However, the path to recovery is not without its hurdles. Expert Ali Martinez recently highlighted key resistance levels that Ethereum must overcome for a sustainable rebound in the short-term. 

Martinez noted that ETH’s price has reclaimed its realized price of $2,040, but the next significant challenge lies at the $2,300 mark, where strong resistance has been observed for the leading altcoin.

Despite a recent recovery that saw a 10% spike in the past two weeks, Ethereum still faces notable monthly losses, down nearly 25% following a broader market correction. 

Ethereum

Featured image from DALL-E, chart from TradingView.com

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
U.S. Vice President JD Vance among Bitcoin 2025 Conference speakersThe Bitcoin 2025 Conference organizers, BTC Inc., unveiled the list of featured speakers at this year's event in Las Vegas, and U.S. VP JD Vance is at the top among them.
Author  Cryptopolitan
May 26, Mon
The Bitcoin 2025 Conference organizers, BTC Inc., unveiled the list of featured speakers at this year's event in Las Vegas, and U.S. VP JD Vance is at the top among them.
placeholder
Ethereum Price Faces Pressure: Can It Sustain Its Recent Rally?Ethereum price found support at $2,460 and started a fresh increase. ETH is now struggling and might drop again below the $2,500 support.
Author  NewsBTC
Yesterday 03: 35
Ethereum price found support at $2,460 and started a fresh increase. ETH is now struggling and might drop again below the $2,500 support.
placeholder
Japan loses top global creditor spot to GermanyJapan lost its 34-year reign as the world’s largest creditor nation to Germany at the end of 2024.
Author  Cryptopolitan
21 hours ago
Japan lost its 34-year reign as the world’s largest creditor nation to Germany at the end of 2024.
placeholder
Gold extends correction amidst trade optimism, stronger US DollarGold (XAU/USD) price extends correction, sliding below the $3,300 mark at the time of writing on Tuesday amid improving risk-on mood and a stronger US Dollar (USD). 
Author  FXStreet
18 hours ago
Gold (XAU/USD) price extends correction, sliding below the $3,300 mark at the time of writing on Tuesday amid improving risk-on mood and a stronger US Dollar (USD). 
placeholder
EUR/JPY appreciates above 163.00 with the Yen retreating across the boardThe Euro is trading higher for the second consecutive day, still fuelled by the delay of Trump’s deadline to avoid 50% tariffs in the US, while the Yen declines alongside super long-term Japanese yields.
Author  FXStreet
18 hours ago
The Euro is trading higher for the second consecutive day, still fuelled by the delay of Trump’s deadline to avoid 50% tariffs in the US, while the Yen declines alongside super long-term Japanese yields.
goTop
quote