Ethereum’s historical performance in January averaged a return of 21.2%, indicating its strength as the market leader of the month.
The month of January 2021 recorded the highest return of +78.51%, followed by +52.01% in 2018 and +39.28% in 2020, positive performances set up upward trends.
Negative returns were recorded in 2022 (-26.89%) and 2019 (-20.23%), highlighting intermittent volatility.
However, even during the down years, Ethereum’s role in the market has influenced altcoin activity, either increasing gains or increasing losses.
February has historically averaged a return of 17.13%, suggesting continued strength in the first quarter, while March has averaged +22.86%.
This consistent performance at the start of the year has triggered Ethereum’s seasonal bullish potential, often fueling the altcoin market’s optimism.
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If this trend continues into 2025, ETH could set a bullish tone for January, fueling the rise of altcoins.
However, market conditions and external factors could moderate gains or increase risks.
This historical data confirmed Ethereum’s key role in driving broader movements in the crypto market during January. Altcoin investors have typically watched ETH trends closely for market cues at the start of the year.
Ethereum (ETH) suggests key levels
ETH price action highlighted key levels with $3555 as key resistance and $3000 as critical support.
The chart showed an expected move towards equal highs near $3,555, followed by a potential rejection within the $3,640-$3,650 supply zone.
Those levels offered significant buying opportunities, with $3,000 representing strong value for long-term accumulation with a view to higher highs.
ETH has consolidated in the mid-range zone, and significant moves are expected only after reaching the red circled levels.
A reaction in the supply zone near $3650 would clarify the next direction.
A break above $3,700 could trigger bullish momentum, while a failure to hold $3,500 could confirm downside risks.
Traders have been waiting for critical tests to determine ETH’s trajectory, focusing on price action near $3,555 and the lower support range.
ETH Mindshare at an all-time low
ETH mindshare fell to 6.25%, the lowest point in the last 12 months. This represented a decline of 29.09% compared to the previous year, with significant declines in the last six months (-25.6%) and three months (-22.23%).
Over the past month, mindshare has fallen by 14.27%, while the past week and day have seen declines of 4.96% and 7.95%, respectively.
This trend indicates declining interest and engagement in ETH relative to other tokens, despite strong price movements. The market has indicated a steady decline in mindshare tokens since June.
The disconnect between price and share of mind suggested external factors were taking attention away from Ethereum.
If share of mind continues to decline, ETH may face challenges in maintaining its dominance over emerging projects.
However, a shift in mindset could happen if market developments rekindle interest.
The current state of ETH reflects the need to refocus on investors and the community to restore previous levels of engagement.
The coming months would be crucial in determining whether this decline would continue or reverse.
CEX and Ethereum Lead Crypto Attack Losses in 2024
Ethereum experienced the highest number of attacks among blockchains in 2024, with 66 incidents causing losses of $844 million.
Centralized exchanges (CEX) came second, suffering 10 attacks resulting in total losses of $724 million.
BNB Chain follows Ethereum with 27 recorded attacks, although specific amounts of losses were not provided.
Other notable chains included Arbitrum (14 attacks), Base (7 attacks) and Solana (5 attacks).
The cumulative impact highlighted Ethereum’s dominance, but also its vulnerability as the leading blockchain in terms of usage and adoption.
Despite its security efforts, Ethereum’s high activity levels and vast ecosystem have made it a frequent target. CEX attacks ongoing risks in centralized finance, highlighting the need for improved safeguards.
If these trends continue, Ethereum and CEX could remain high-priority targets for attackers. This would require strong security upgrades to mitigate future risks.
The analysis highlighted the critical need for decentralized and centralized platforms to address vulnerabilities to reduce financial losses and maintain user confidence in 2024 and beyond.
