Potential Market Shifts Suggest Ethereum Layer 2 could Reach $1T Valuation by 2030 amidst Market Fluctuations

By: Eliza Bennet

The growth potential of Ethereum's Layer 2 networks could see them skyrocket to a base valuation of $1 trillion by 2030, according to market predictions. This expected climb is largely attributed to their anticipated future usage across a range of applications including metaverse interfaces, digital banking, and gaming platforms.

Despite this ambitious forecast, Ethereum itself has recently been struggling to recover from a resistance zone above $3,360. It is currently exhibiting signs of further losses below the $3,300 and $3,250 levels. The cryptocurrency, facing several hurdles near the $3,350 and $3,360 levels, is now trending below $3,350 and the 100-hourly Simple Moving Average.

There is uncertainty ideally a strong shift could extend losses if Ethereum fails to maintain above the $3,200 support zone. Nevertheless, the possible resurgence hangs around the $3,550 level. Beyond this, if there's a move above the $3,650 resistance, Ethereum could rise toward the $3,750 resistance. Moreover, any further gains could steer towards the price to a $3,800 test.

On the other hand, failure to clear the $3,360 resistance means Ethereum could either stabilize or continue its downward shift. Initial support on the downward side is near the $3,240 level, followed by major support at $3,215. Any notable decline below the $3,200 support could see the price drop to $3,120, with further losses potentially pushing the price towards the $3,040 level.