Ethereum faced challenges in the first quarter, what is the outlook for the second quarter of 2025?

Jakarta, Pintu News – Ethereum ETH9.17%->Current ETH PriceRp 26.687.5499.17%Market Cap-Trading Volume-Circulating Supply-, the second largest cryptocurrency by market capitalization, has had a rough start to the year. In the first quarter of 2025, ETH recorded a significant decline that was worrying for many investors.

While other cryptocurrencies such as Bitcoin BTC5.20%->Current BTC PriceRp 1.344.654.7015.20%Market CapRp 33.034 TriliunTrading VolumeRp 1.590 TriliunCirculating SupplyRp 19.797.675 and Ripple XRP11.46%->Current XRP PriceRp 31.49511.46%Market Cap-Trading Volume-Circulating Supply- experienced growth, Ethereum showed the opposite performance. However, history suggests considerable recovery potential in the second quarter.

Ethereum’s Performance in the First Quarter

Ethereum experienced a 38% price drop during the first quarter of this year. Currently, ETH is trading slightly above the psychologically important level of $2,000, reflecting a 43% annual decline in value. This represents one of the worst quarterly performances in Ethereum’s history, bettered only by the first quarter of 2018 which saw a 46% decline.

In comparison, Bitcoin (BTC) recorded a gain of 23% and Ripple (XRP) surged by 279% in the same period. This contrast highlights Ethereum’s performance lagging behind the positive trend of the crypto market. This raises concerns about a possible repeat of similar downward patterns that have occurred in the past.

Also Read: Will Ripple (XRP) Surge? Latest Analysis and Predictions for April 2025

Potential Recovery in the Second Quarter

Nonetheless, some analysts see potential for recovery in the second quarter. Based on historical data since 2016, Ethereum has risen about 66% on average in the second quarter. If this trend is repeated, the price of ETH could increase by 60% and reach the $3,200 range.

Market analyst Lark Davis highlighted that Ethereum often shows price spikes in this period, although he also warned of the possibility of a continued correction pattern like the one in 2018. Back then, despite a 15% rise in Q2, ETH fell by more than 40% in the following two quarters.

Analyst’s View on the Long Term

In the long run, some crypto watchers remain optimistic about Ethereum’s growth potential. One analyst named Merlijn compared the current market conditions to previous cycles on Bitcoin. He mentioned signs of accumulation, breakouts, and a potential “V-shape” recovery.

Merlijn predicts that ETH could experience a surge of up to 1,100% in this cycle, with prices that could break $24,000. If this scenario materializes, Ethereum could set a significant new record and have a major impact on the cryptocurrency market as a whole.

Technical Barriers and Risk Factors

Although the growth potential looks promising, Ethereum still faces some technical challenges. Analyst Ali Martinez points out that ETH needs to cross an important resistance level in the range of $2,300 or about Rp37,490,000 to confirm a more sustainable recovery trend. Currently, ETH has managed to break the realized price of $2,040 (IDR33,252,000), but has not been able to break the next resistance limit.

In the past two weeks, Ethereum recorded a gain of around 10%, but still saw a decline of almost 25% on a monthly basis. This is due to the overall crypto market correction that has negatively impacted the prices of a number of digital assets. Investors are urged to remain cautious in the face of market volatility.

Conclusion

Ethereum faces major challenges in early 2025, but it still holds significant growth potential in the second quarter and beyond. Although several technical and historical indicators support the possibility of a rebound, investors should still pay attention to risk factors and fast-changing market dynamics. As one of the leading assets in the cryptocurrency space, Ethereum’s journey will continue to be an important highlight for market participants.

Also Read: Will Cardano (ADA) Surge? Check out the latest prediction in April 2025!

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Trading crypto carries high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying andselling Bitcoin and other crypto asset investments are the responsibility of the reader.

Reference:

• NewsBTC. Q2 Outlook For Ethereum: Can ETH Overcome Its Disappointing Q1 Performance?. Accessed March 27, 2025.
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