Ethereum Price Forecast June: Team Layoffs Boost 50% ETH Rally Case

Ether (ETH) is eyeing a major technical breakout in June, just as a fundamental shift at the Ethereum Foundation signals a renewed focus on execution and scalability.

Ethereum Foundation Overhauls R&D With Layoffs and New “Protocol” Division

On June 2, the Ethereum Foundation announced a significant restructuring of its Research and Development (R&D) efforts.

All R&D teams will now operate under a newly branded “Protocol” division focused solely on scaling the Ethereum base layer (layer 1), improving rollup data capacity via “blobs,” and streamlining the user experience.

Announcing Protocolhttps://t.co/LMANvhQ0X3

— Ethereum Foundation (@ethereumfndn) June 2, 2025

The reorganization includes strategic layoffs aimed at reducing overlap and accelerating core protocol development.

According to the Foundation, this leaner team structure is intended to improve communication, upgrade delivery speed, and reestablish Ethereum as the technical leader in decentralized infrastructure.

This move follows months of criticism from both developers and users, who have expressed frustration over Ethereum’s slow progress and fragmented roadmap. By consolidating teams, the Foundation hopes to resolve longstanding development bottlenecks and focus on the most impactful protocol upgrades.

Ether’s price jumped by over 7% to over $2,650 after the announcement, suggesting that most traders view the restructuring as bullish for the cryptocurrency in June.

ETH’s Bull Pennant Hints At 50% Breakout

On the technical front, Ethereum’s price action is aligning with this renewed strategic clarity.

ETH/USD is currently forming a bull pennant pattern, a structure often seen before strong upward moves. The base of the triangle-like setup lies near $2,400, while resistance holds around $2,750.

A breakout above this resistance zone could propel ETH toward $3,987 by June’s end, a 50% rally from current levels. The previous uptrend’s height, projected from the breakout point, matches this bullish target.

Notably, ETH continues to trade above its 50-day and 200-day exponential moving averages, reinforcing bullish momentum.

Momentum indicators such as the RSI (relative strength index) remain healthy, currently hovering above 60, suggesting that ETH still has room to climb before reaching overbought levels.

Ethereum’s MVRV Z-Score Supports Bullish Outlook

On-chain data also supports the bullish thesis.

Ethereum’s MVRV Z-Score—a metric that evaluates when ETH is over- or undervalued relative to its historical fair value—recently rebounded from the accumulation zone (green band).

Historically, such rebounds have preceded major price rallies, including ETH’s 2017 and 2021 bull runs.

As of June, the MVRV Z-Score remains well below the red “overheated” zone, implying ETH is still far from peak euphoria. This suggests there is room for further price appreciation without entering bubble territory, strengthening the case for a breakout toward $4,000 in June.