The past 24 hours have been quite eventful for the cryptocurrency sector, with president-elect Donald Trump unveiling his own meme coin, “Official Trump” (TRUMP). This Solana-based meme coin has experienced a dramatic increase of over 500% in value within this short timeframe, achieving a market capitalization exceeding $5 billion.
On the contrary, the price of Ethereum (ETH) has found it challenging to maintain the same level of momentum, missing out on the bullish sentiment that has surfaced recently. What might investors anticipate regarding the “king of altcoins” as we enter the initial months of 2025?
Analysis of ETH’s Historical Q1 Performance
Prominent crypto analyst Ali Martinez recently shared insights on social media platform X regarding Ethereum’s potential price behavior in the first quarter of 2025. Analyzing historical data indicates that the second-largest cryptocurrency by market cap could see a bounce back before March concludes.
Historically, Ethereum has demonstrated its strongest performance during the year’s initial three months. Since 2017, the altcoin has recorded an average return of about 82.69% in the first quarter, followed by nearly 67% in the second quarter.
Price action data reveals that Ethereum only failed to post positive returns during the beginnings of the bear markets in 2018 and 2022. By the end of March in 2018 and 2022, ETH had dropped by nearly 50% and 11%, respectively.
Conversely, the altcoin achieved its best performance in Q1 2017, with a staggering increase of over 500% during the first three months. This was followed by a 160% rise at the start of 2021, which marked the final year in a four-year crypto cycle.
Given these historical patterns, it appears that Ethereum may be positioned for a significant rise before the close of March 2025. In addition to its history of strong first-quarter rallies, ETH is likely on the cusp of its final cycle year, a period often associated with robust altcoin performances.
Ethereum Price Summary
Currently, Ethereum’s price is just below $3,300, representing a nearly 6% drop over the past day. This recent movement has led to a decline of over 1% in the altcoin’s daily performance.
If Ethereum is to adhere to its trend of strong Q1 showings, sustaining a close above the critical $3,500 threshold will be essential. Since mid-December, the cryptocurrency has largely been trapped in a consolidation phase below this price level.
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