Ethereum Price Could Hit $10,000 in 2025, Says Arthur Hayes

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In the second quarter of 2025, Ethereum’s price staged a powerful recovery, climbing from a low of $1,400 to surpass $2,700. This resurgence was fueled by a combination of technological advancement and favorable market sentiment. The successful rollout of the Pectra upgrade played a pivotal role, enhancing network efficiency and restoring investor confidence in Ethereum’s long-term roadmap.

Coinciding with this technical milestone was a notable geopolitical development: on May 8, the U.S. and the U.K. announced a landmark trade agreement. While not directly tied to crypto markets, the resulting wave of global economic optimism spilled over into digital assets, boosting altcoins across the board—including Ethereum.

👉 Discover how market momentum could propel Ethereum toward new highs.

Arthur Hayes: Ethereum’s Path to $10,000

Arthur Hayes, former CEO of BitMEX and current CIO of Maelstrom, recently shared his bullish outlook for Ethereum during an appearance on the Bankless podcast. Known for his macroeconomic insights and contrarian views, Hayes emphasized that while technical upgrades matter, market sentiment has been the dominant force behind Ethereum’s recent rally.

When asked about Ethereum’s price trajectory for 2025, Hayes projected an aggressive target: $5,000 as a near-term milestone**, with the potential to climb to **$10,000 or even $15,000 by year-end—if momentum holds.

"The ETH move wasn't driven by fundamentals alone—it was sentiment," Hayes stated. "After years of underperformance compared to high-beta alts like Solana, Ethereum is due for a revaluation."

Hayes pointed out that Ethereum had long been overshadowed by faster, more speculative blockchains. However, its foundational role in decentralized finance (DeFi), smart contracts, and institutional adoption is now regaining focus. He believes that regulatory clarity—especially around staking and token classification—could serve as a major catalyst.

He also highlighted emerging DeFi ecosystems such as EtherFi and Pendle, which are beginning to demonstrate sustainable revenue models. These projects, built on Ethereum’s secure base layer, could help validate the network’s value beyond mere speculation.

On a personal note, Hayes revealed his crypto portfolio allocation: 60% Bitcoin, 20% Ethereum, and the remainder in select altcoins. Outside of crypto, he holds physical gold, gold mining equities, and U.S. Treasury bills—reflecting a diversified macro hedge strategy.

Why Sentiment Matters More Than Code

While the Pectra upgrade brought tangible improvements—such as reduced transaction latency and enhanced scalability—Hayes argues that investor psychology often moves markets faster than code deployments.

"After being left behind in previous cycles," he explained, "there’s a pent-up demand for ETH exposure among institutional players who now see it as a safer bet than newer protocols."

This shift in perception aligns with broader trends indicating renewed interest in blue-chip cryptos. As macroeconomic conditions evolve—including ongoing monetary expansion and inflation concerns—digital assets are increasingly viewed as hedges against traditional financial instability.

👉 See how smart investors are positioning themselves ahead of the next bull phase.

Technical Outlook: Can Ethereum Break $2,800?

As of mid-2025, Ethereum trades around $2,528**, with intraday volume exceeding **$23.47 billion. The daily chart shows mixed signals: while upward momentum slowed after May’s rally, key indicators suggest underlying strength.

The Relative Strength Index (RSI) currently sits at 68.70—down from overbought levels but still signaling bullish momentum. The critical resistance level lies at **$2,800**; a decisive breakout above this mark could open the door to $3,500 and beyond.

More compelling evidence comes from on-chain metrics tracked by CryptoQuant. The ETH/BTC price ratio has surged by 38% in one week, rebounding from its lowest point since January 2020. Historically, such rebounds precede extended periods of altcoin outperformance—often referred to as “Alt season.”

Even more telling is the ETH/BTC Market Value to Realized Value (MVRV) ratio. This metric recently entered an “extreme undervaluation” zone relative to Bitcoin—the first time since 2019. In past cycles (notably 2017–2019), similar conditions were followed by significant outperformance of Ethereum.

This data suggests a strong possibility of mean reversion, where Ethereum regains its historical premium against Bitcoin as confidence returns.

Institutional Confidence and Ecosystem Growth

Beyond price action and sentiment, Ethereum continues to solidify its position as the leading platform for institutional-grade applications.

Its dominance in DeFi protocols, stablecoin settlements, and enterprise blockchain solutions remains unmatched. With Layer 2 scaling solutions maturing and transaction costs stabilizing, developers are returning to build complex financial infrastructure on Ethereum’s reliable foundation.

Moreover, growing regulatory clarity—particularly in jurisdictions like the EU and Singapore—has encouraged traditional finance players to explore Ethereum-based tokenization of real-world assets (RWAs). Projects integrating bonds, equities, and commodities onto the chain are gaining traction.

This convergence of innovation and compliance is reinforcing Ethereum’s status as the go-to blockchain for sustainable, long-term value creation.

👉 Explore how Ethereum's ecosystem is evolving beyond speculation into real utility.

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Frequently Asked Questions (FAQs)

Is Ethereum undervalued compared to Bitcoin in 2025?
Yes. The ETH/BTC MVRV metric indicates that Ethereum is trading in an extreme undervaluation zone not seen since 2019. This historically precedes strong outperformance relative to Bitcoin.

What role did the Pectra upgrade play in Ethereum’s price rally?
The Pectra upgrade improved network performance and scalability, restoring investor confidence. While sentiment drove the immediate rally, the upgrade laid the technical groundwork for future growth.

What will the price of Ethereum be in 2025?
Based on current momentum and analyst projections—including Arthur Hayes’ forecast—Ethereum could reach $5,000 by Q3 and potentially climb to $10,000 by year-end if macro conditions remain favorable.

Could an “Alt season” be starting in 2025?
Signs point to yes. The 38% surge in the ETH/BTC ratio and rising on-chain activity suggest that capital may be rotating from Bitcoin into high-conviction altcoins—starting with Ethereum.

What factors could accelerate Ethereum’s price growth?
Key catalysts include regulatory clarity on staking, increased adoption of DeFi and RWAs, continued institutional inflows, and sustained macroeconomic uncertainty driving demand for non-sovereign assets.

Is Arthur Hayes bullish on crypto overall?
Yes. Hayes maintains significant exposure to Bitcoin and Ethereum while hedging with gold and Treasuries. His portfolio reflects a macro bet on de-dollarization and digital asset adoption amid global monetary shifts.