Why Ethereum Could Hit $7.7K: The Setup Nobody’s Talking About 🚀

Here’s why I think Ethereum is on the brink of a major breakout👇

Let’s rewind to Q4 2020

Bitcoin broke out, and ETH was the a joke.

Scalability issues, delayed ETH 2.0 transition… Bitcoin maxis were hosting “death of ETH” parties. And then what happened? ETH broke its ATH in January 2021, doing a staggering 5.4x in just 4 months.

Now, fast-forward to today: the ETH/BTC ratio is bottoming, and history might just be rhyming.

1️⃣ ETH/BTC Ratio Dynamics

The ratio is near its cycle lows. I expect it to dip slightly lower if/when BTC cracks $100k.

2️⃣ ETH’s Turn is Coming

Why does ETH historically lag? Investors need time to process macro shifts (e.g., Fed policy, geopolitics). Once the dust settles and new capital enters the market, Ethereum shines. This played out in early 2021, and we’re seeing similar conditions now.

3️⃣ Muted Price, Strong Fundamentals

ETH’s price action has been subdued, and as always, narratives follow price. But the truth? Ethereum’s fundamentals are rock solid:

• L2s are scaling effectively.

• Staking is thriving.

• The network is delivering on its promises.

This disconnect between fundamentals and price is precisely why I expect a rapid re-rating of ETH as momentum builds.

4️⃣ The ETH ETF Effect

Ethereum’s ETF flows are still minuscule compared to Bitcoin’s—just $540M vs. BTC’s $30B+. That’s absurd when you consider ETH is 22% of BTC’s market cap. As ETFs ramp up, institutional capital will flood into ETH, creating a powerful tailwind.

5️⃣ Alt-Season & The Supercycle Narrative

When ETH turns, alt-season begins. Watch for:

• TradFi giants launching funds on Ethereum.

• Tokenized RWA projects and stablecoin innovation.

• L2s gaining traction.

And as prices move, narratives will shift.

Final Thoughts:

ETH/BTC at 0.08 implies a $7.7k ETH. If you think that’s impossible, remember: it’s already happened—twice—last cycle. This setup is nearly identical to 2020/21. Ethereum’s time is coming, and if history’s any guide, the upside could be explosive.

$ETH has some catching up to do—and it will. 🫡

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Twitter: https://x.com/arndxt_xo/status/1861390189270385089