Ethereum Price Prediction: Can Breaking $2980 Spark a New Bull Run?

Ethereum Transaction Throughput Set to Rise

Ethereum developers are set to increase the network’s block gas limit from 60 million to 80 million in January. This move will directly expand the number of transactions and smart contract executions each block can process, boosting overall network throughput and potentially reducing transaction fees.

Barnabas Busa of the Ethereum Foundation noted that two client-side optimizations must be completed before the gas limit can be raised: partial blob response on the execution layer and the max blobs flag on the consensus layer. These upgrades will lay a solid foundation for scaling the network while preserving Ethereum’s decentralized architecture.

Hard Forks Drive Network Upgrades

The Ethereum All Core Developers will finalize the gas limit increase plan on January 5. Implementation will follow the second BPO hard fork on January 7. The first hard fork, completed on December 9, boosted blob capacity by 66%. The upcoming second hard fork is expected to add another 66%. Blobs are large off-chain data chunks used by Ethereum for storing transaction and rollup data, which significantly reduce gas costs and enhance scalability.

Short-Term Outlook for Ethereum Price

If ETH decisively breaks above the $2,980 resistance level, it could target the $3,030 mark. Sustained momentum above $3,030 may drive Ethereum higher into the $3,120 to $3,150 range in the near term.

However, if ETH fails to clear the $2,880 resistance, the price may enter a new downward phase. Initial support lies at $2,800, with key support at $2,780. A move below $2,780 could see ETH test $2,740, and potentially the $2,625 and $2,550 support zones.

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Summary

The Ethereum network upgrade and higher gas limit will enhance transaction throughput and reduce fees, providing long-term support for price stability. In the short term, ETH’s critical range is $2,980 to $3,030. A breakout above this zone could unlock further upside, while failure to hold above support may lead to a test of the $2,780 to $2,550 range. Investors should adjust strategies based on price action and the pace of network upgrades.