Ether could reach a remarkable high of $12,000 by the end of 2025, according to Dr. Sean Dawson, head of research at the options DeFi protocol Derive. This potential 257% surge from its current trading price of $3,361, as per the data by CoinMarketCap, hinges on two pivotal factors: the successful deployment of Ethereum’s upcoming Pectra upgrade and a supportive regulatory environment under Donald Trump’s presidency. Pectra Upgrade and Regulatory Optimism Dawson shared his insights in a recent interview , emphasizing that Ethereum’s success would require significant adoption of real-world assets (RWAs), robust inflows into exchange-traded funds (ETFs), and expanded utility in emerging tech sectors like decentralized physical infrastructure networks (DePIN) and AI agents. He also highlighted Ethereum’s growing relevance in AI applications , with its layer-2 scaling network, Base, becoming a hub for AI agents. The Pectra upgrade, slated for the first quarter of 2025 , is expected to improve Ethereum’s efficiency and scalability, potentially attracting broader institutional and retail adoption. Dawson believes that enhanced interoperability driven by layer-2 solutions could further solidify Ethereum’s position in the crypto market. Bullish Options Market Suggests Ether Price Surge While Ether’s price has been relatively steady around $3,500 since December 20, the derivatives market suggests a bullish outlook. Dawson pointed out that on Derive.xyz, call options significantly outnumber puts, with 250% more open interest in calls. This reflects a strong appetite among traders for upward price movement. However, Dawson acknowledged potential risks to Ether’s bullish trajectory. A failure to attract institutional interest for a spot Ether ETF or losing ground to competitors like Solana could push ETH below $2,000 in a bearish scenario. He warned that other layer-1 blockchains offering higher risk-reward opportunities might challenge Ethereum’s dominance in a bull market. Long-term holder confidence in Ether has been rising , with the percentage of investors holding their tokens for over a year increasing from 59% in January 2024 to 75% by December, according to IntoTheBlock. This contrasts with Bitcoin, which saw a decline in long-term holders over the same period, reflecting growing optimism about Ethereum’s future prospects. The post Ether Could Soar to $12,000 in 2025, Says DeFi Researcher Amid Network Upgrades appeared first on TheCoinrise.com .