Ethereum Projected to Trade Between $1,588.19 and $2,235.45 by June 2025

The Ethereum Rainbow Chart, a sentiment-based model that overlays Ethereum’s price history on a logarithmic growth curve, has projected that the second-largest cryptocurrency by market capitalization will trade between $1,588.19 and $2,235.45 by June 1, 2025. This range places Ethereum within the “Still Cheap” band, suggesting that despite recent price gains, the asset remains undervalued relative to its historical growth curve.

Ethereum has been one of the top-performing assets in the ongoing market cycle, having broken out of a prolonged consolidation phase below $2,000. This rally has been driven by broader market sentiment and key network upgrades. As of the latest data, Ethereum was trading at $2,565, reflecting a 2.93% increase in the last 24 hours and a 6.5% gain over the past week. However, short-term momentum may be slowing, as indicated by the 14-day Relative Strength Index (RSI) standing at 62.91, nearing overbought territory.

Despite this, both the 50-day and 200-day simple moving averages (SMA) remain below the current price, reinforcing a bullish outlook. The 50-day SMA is at $2,024.08, and the 200-day SMA is at $2,479.18, both of which are below the current trading price of Ethereum.

The Rainbow Chart uses color-coded bands to illustrate market sentiment across different valuation levels. The top band, “Maximum Bubble Territory,” spans from $13,891.96 to $19,811.01. Below this are bands labeled “But have we earned it?” ($9,711.26–$13,891.96), “Is this The Flippening?” ($6,671.98–$9,711.26), “HODL!” ($4,592.33–$6,671.98), and “Steady…” ($3,185.43–$4,592.33). The “Still Cheap” range extends from $2,235.45 to $3,185.43, just above the “Accumulate” zone ($1,588.19–$2,235.45). Beneath that are the “Undervalued” ($1,147.53–$1,588.19) and “Fire Sale” ($845.94–$1,147.53) zones.

Ethereum’s current price trajectory supports the view that it will remain within or near the “Still Cheap” band in early June. While Ethereum has rebounded, it remains far from the chart’s upper, more euphoric valuation zones. The Rainbow Chart, while offering a compelling visual narrative of Ethereum’s historical price behavior, is not a predictive tool. Instead, it serves as a simplified framework to contextualize long-term valuation trends.