The price of Ethereum (ETH) has fluctuated in 2025, causing some traders and investors to worry about its future. The price has fallen by almost half after hitting a Year-to-Date (YTD) $3,635 in January. Many people wonder if Ethereum price will ever breach the $4,000 resistance and a new high of around $5,000. Notably, a big focus is on the upcoming Pectra upgrade and whether it can trigger an increase in the price of Ethereum. Ethereum Price and Rocky Start to 2025 So far, 2025 has been rough for Ethereum. At the end of January, Ethereum was trading at $3,267.90 per an earlier ETH price analysis as the forecast for January’s push to $4,000 failed. Unfortunately, it dropped to around $1,910.67 by mid-March. This big drop in just a few weeks has left several large investors selling off, as seen in Ethereum ETF outflows. While Ethereum still has high growth potential for the future, the short-term price movement has been unpredictable. The delay in key upgrades, like the Pectra update , has made things harder for Ethereum. As of press time, CoinMarketCap data shows that Ethereum’s price was trading at $1,931.64 and has seen an over 1% decline in the last 24 hours. Still, ETH remains the second largest cryptocurrency globally, with a Market capitalization of $233.12 billion. With the price drawdowns conditional, the question hinges on what its prospects for growth are in the short term. Impact of Pectra Upgrade on Ethereum As Vitalik Buterin announced, the Pectra upgrade is meant to make Ethereum faster and more efficient. It combines two key updates, Prague and Electra, designed to improve Ethereum’s performance, especially regarding scalability and staking. The mainnet launch for Pectra was expected to happen in early April, but the circumstances surrounding its testing are uncertain. This is because the Sepolia and Holesky testnets encountered configuration issues. This testnet hiccup fueled the latest Ethereum price drawdown as community sentiments dropped. However, ETH developers have stepped up to create a fix. They are set to launch the “Hoodi” testnet by Monday, March 17, which will help redirect the testing of key Pectra upgrade features. If all goes well, the mainnet launch could take place between April and May 2025. Many Ethereum proponents believe the success of Pectra might serve as a primary catalyst for the Ethereum price boom to $5,000. Ethereum ETF and Potential Impact on Price Ethereum ETFs could also boost the ETH price outlook. While Bitcoin ETFs have gained popularity, Ethereum ETFs are lagging behind in terms of sustained capital flow. Data from SoSoValue shows that Ethereum ETFs lost over $143 million in assets this week. This is a large outflow compared to last week when they recorded $119 million in outflows. Although the broader market sentiment is impacting this shift, when the stock market gains revival, the ETF market and by extension Ethereum price may gain momentum. The post Will Ethereum Price Reclaim $5,000 If Pectra Goes Live on Mainnet? appeared first on CoinGape .
