Key Points:
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Some analysts believe Ether is undervalued and project it could surpass $8,000 as the global M2 money supply reached an unprecedented $95.58 trillion.
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With Bitcoin’s dominance shrinking, this could bolster Ether’s growth, contributing to an 8.5% market share drop for Bitcoin since June 27th.
Analysts suggest that “we should see trades over $8,000” for Ether (ETH), citing its current undervaluation alongside a record high in global liquidity, measured by Broad Money Supply (M2), which hit $95.58 trillion on Friday.
ETH Price Potential After M2 Surge
The global M2 measure encompasses US dollar-adjusted liquidity across major economies, including the US, Eurozone, Japan, the UK, and Canada.
An increase in M2 indicates more money is circulating, including in bank accounts and through various liquid assets. This excess liquidity might lead to higher capital flows into riskier assets, like cryptocurrencies.
Related: XRP vs ETH: Which tokens are quietly outperforming at Whale Fuel Rally?
Ether seems to mirror the M2 supply trajectory as indicated by the Wyckoff accumulation method looking ahead to 2025, though there appears to be a significant lag in this pattern.
“Relative to the M2 growth, ETH should already be trading above $8,000,” analysts mentioned on X Post Thursday.
They further commented:
“This illustrates how undervalued ETH currently is and it’s likely one of the best opportunities out there.”
Eric Trump, co-founder of World Liberty Financial, echoed this sentiment with an “Agree” response on social media.
Another bullish perspective was voiced by analyst Wolf, who based it on technical breakthroughs.
“In any case, anticipate a swift correction of 20-25% post-all-time highs, followed by a final shakeout before a surge.”
As promised, here’s an update $ eth Outlook. Two paths:
•Conservative Goal: $8K+
• Optimistic: Over $13K
In either scenario, expect a sharp washout of 20-25% after ATHS, the final shakeout before the lift-off.
Q4 is when it’s time to light.
This is the roadmap. pic.twitter.com/bi48ucquht– Wolf🐺 (@iamcryptowolf) July 25th, 2025
Many analysts have forecast Ether prices to land somewhere between $5,000 and $10,000 by the end of 2025, driven by growing institutional interest through ETFs and Ethereum-focused finance firms.
Decreasing Bitcoin Dominance and Rising Ether Prices
The rise in Ether values seems to correlate with a surprising drop in Bitcoin’s market share, or “control,” in the cryptocurrency landscape.
As of Monday, Bitcoin’s dominance (BTC.D) was at 60%, the lowest since early February, marking an 8.5% decline since June 27th.
During the same period, Ether’s value surged by 77%, suggesting a negative relationship with BTC.D.
Historically, significant declines in Bitcoin’s dominance have often led to dramatic increases in Ether prices, as it’s the largest altcoin by market cap.
In previous instances, like 2017 and 2021, drops in BTC.D coincided with staggering ETH price rises of 10,000% and 850%, respectively.
The ETH/BTC ratio, which reflects Ether’s value relative to Bitcoin, has rallied by 40% monthly, fueled by a stronger influx of Spot Ethereum ETFs compared to Bitcoin ETFs.
🔥 Bull: The ETH/BTC ratio surged by about 40% in a month, returning to January levels amid Ethereum rallies and a strong ETF influx. pic.twitter.com/zu1irbb6vy
– Cointelegraph (@cointelegraph) July 23, 2025
This article does not include investment advice or recommendations. All investment and trading movements include risk and readers must do their own research when making decisions.
