Top Analyst Says Ethereum Rally in 2026 Unlikely
A leading crypto analyst has warned that a significant Ethereum (ETH) rally in 2026 is unlikely. The analyst cited macroeconomic headwinds, prolonged risk-off sentiment, and on-chain metrics that do not yet support a major bullish breakout for ETH. Key points include subdued network activity, reduced fee revenue compared with past bull runs, and an absence of strong accumulation signals from long-term holders. The analyst also noted that while protocol upgrades and ecosystem development remain positive fundamentals, they may not be sufficient to trigger a large near-term price surge without broader market liquidity and macro tailwinds. Traders should watch metrics such as exchange flows, on-chain supply concentration, staking rates, and macro indicators (interest rates and risk appetite) for signs of a shift. The analyst recommended a cautious trading stance: favoring risk management, smaller position sizing, and using defined entries and exits rather than assuming a broad-market-led ETH rally in 2026.
Bearish
The analyst’s conclusion points to weaker technical and on-chain fundamentals for Ethereum and highlights unfavorable macro conditions — a combination that typically dampens upside in crypto assets. Historically, ETH rallies have needed both positive on-chain signals (rising active addresses, fee/txn growth, accumulation by long-term holders) and favorable macro liquidity conditions. Examples: the 2020–21 ETH rally coincided with strong DeFi growth and abundant liquidity; conversely, 2022 sell-offs were driven by macro tightening and falling on-chain activity. Given current subdued network usage, lower fee income, and unclear accumulation, short-term momentum is likely limited. For traders, this implies higher probability of sideways-to-downward price action in the near term, favoring defensive tactics (tight stops, reduced leverage, hedging). Long-term holders may still view protocol upgrades as constructive, but without macro improvement and clear on-chain accumulation the timing and magnitude of any rally remain uncertain.