{"id":3936,"date":"2020-05-25T07:47:26","date_gmt":"2020-05-25T07:47:26","guid":{"rendered":"https:\/\/paybis.com\/blog\/?p=3936"},"modified":"2024-10-30T13:26:58","modified_gmt":"2024-10-30T13:26:58","slug":"ethereum-price-prediction","status":"publish","type":"post","link":"https:\/\/paybis.com\/blog\/ethereum-price-prediction\/","title":{"rendered":"Ethereum Price Prediction – A Look Into The Future"},"content":{"rendered":"

Ethereum is currently the second most popular cryptocurrency. Released in 2015, this open-source protocol saw its popularity rise astronomically during the ICO boom of 2017. After the bear market crushed the coin’s price, long-term investors were left with the question – Will Ethereum price go up again?<\/span><\/p>\n

In this article, we will analyze the impact of the prior bear market on the popular cryptocurrency, as well as our Ethereum price prediction on both the short and long timeframe.\u00a0<\/span><\/p>\n

What Is Ethereum?\u00a0<\/span><\/h2>\n

It would be difficult to give an Ethereum forecast without going into more detail on how the platform works.\u00a0<\/span><\/p>\n

Where Bitcoin is considered to be a great store of value, Ethereum offers a lot more possibilities. The main appeal of the platform is the Ethereum Virtual Machine, a supercomputer of sorts, that can run <\/span>smart contracts<\/span><\/a> and <\/span>decentralized applications.\u00a0<\/span><\/a><\/p>\n

Anyone can create a vast array of financial products on the Ethereum protocol. They can range from personalized cryptocurrencies and decentralized exchanges to lending and interest-earning platforms.\u00a0<\/span><\/p>\n

Like with any cryptocurrency, mass adoption and popularity are directly related to an increase in price. Multiple companies adopted Ethereum in 2017, as it allowed them to develop their innovative and revolutionary projects (by creating ERC-20 tokens). They also sold their Ethereum-based tokens to investors through ICOs, forcing new market participants to create ETH wallets.<\/span><\/p>\n

Unfortunately, the majority of these projects did not survive, and some were even labeled as scams. However, even though some of these cryptocurrencies never took off, lots of companies managed to survive, and currently thrive while running on the Ethereum blockchain.<\/span><\/p>\n

In time, bigger virtual platforms consider the use of ERC-20 tokens to reward their users. Only recently, Reddit started testing a rewarding program with ERC-20 tokens on 2 of their most popular subreddits, hosting over 2.4 million users. It is projects like these that increase the potential for adoption and help consolidate Ethereum as the leading smart contract platform.<\/span><\/p>\n

But let\u2019s talk about an even more important event in the Ethereum ecosystem that might turn the entire crypto market upside down.<\/span><\/p>\n

Ethereum 2.0 Is On The Way<\/span><\/h2>\n

Some crypto analysts and experts believe the ETH 2.0 update will transform DeFi (decentralized finance) and trigger a major bull run.\u00a0<\/span><\/p>\n

For the past few years, Ethereum has been working on a <\/span>PoW consensus algorithm<\/span><\/a>. In short, network participants can mine ETH by using their computational power to solve complex mathematical problems on the Ethereum network.<\/span><\/p>\n

But, with the release of Ethereum 2.0, the protocol will switch to <\/span>PoS<\/span><\/a>, enabling a staking mechanism on the network. As a result, holders will start receiving rewards simply for holding ETH, by locking it for a certain amount of time.<\/span><\/p>\n

The upgrade was expected to deploy during the first quarter of 2020 but <\/span>was delayed to Q2 2020<\/span><\/a>. While some skeptics are becoming increasingly doubtful, the update remains highly anticipated throughout the crypto community.\u00a0<\/span><\/p>\n

To understand the price predictions in this article, let\u2019s first have a look at the historical price performance of Ethereum.\u00a0<\/span><\/p>\n

Historical Ethereum Price Chart<\/span><\/h2>\n

\"ethereum<\/path><\/svg><\/a><\/picture><\/p>\n

In the chart right above you can observe the price action of Ethereum since its ICO in 2015. Note that the latest bull run started in May 2017, where ETH price jumped from $95 to $400 within a one-month timeframe.\u00a0<\/span><\/p>\n

It was a great time for early investors, but no one could have predicted the crazy returns that followed.\u00a0<\/span><\/p>\n

The ICO boom had such an impact on ETH that its price rose to almost $1400 per coin. From January 2017 to January 2018, Ethereum\u2019s value went up more than 30.000%! Unfortunately, in financial markets, such unrealistic price increases are often followed by a big drop in value.<\/span><\/p>\n

As the ICO trend slowly dispersed, the price of Ethereum followed the market decline and bottomed out below the $100 mark in late 2018.\u00a0<\/span><\/p>\n

Today, Ethereum\u2019s price trends seem to follow Bitcoin closely. The coin has been trading between $150 and $200 since the beginning of 2020.\u00a0<\/span><\/p>\n

If we allow ourselves to base our ETH price prediction on previous Bitcoin halvings, we can expect the price to rise again in the near future.\u00a0<\/span><\/p>\n

Ethereum Price Prediction 2020<\/span><\/h3>\n

\"Ethereum<\/path><\/svg><\/a><\/picture><\/p>\n

While 2020 started on a positive note, it has certainly not been the best year in the markets.<\/span><\/p>\n

In February alone, Ethereum saw a 100% price increase that unfortunately did not last long. Just a month later, the <\/span>Covid-19 pandemic impacted all markets negatively, and the second-most popular crypto wasn\u2019t spared either.\u00a0<\/span>Ethereum hit new lows mid-march, going under the symbolic $100 mark once again.\u00a0<\/span><\/p>\n

But the market seems to have recovered. ETH has returned to its pre-COVID levels and has entered a clear uptrend. Moreover, the excitement for the upcoming ETH 2.0 is apparent in the community and among investors.\u00a0<\/span><\/p>\n

Analysts predict that the increased demand for ETH combined with a reduction in supply as soon as ETH 2.0 is released, could be the catalyst that helps Ethereum pass the dreaded $300 mark once again.<\/span><\/p>\n

When crosschecking the historical patterns of Ethereum shortly after the halving of BTC, there\u2019s a good chance that Ethereum will experience a bull run sometime during 2020.\u00a0<\/span><\/p>\n

While unrealistic price pumps like those in 2017 seem to be a thing in the past, we could see ETH prices hit $400 (or higher) by the end of 2020.\u00a0<\/span><\/p>\n

Then again, who can tell how the community will react if the 2.0 update is delayed yet again? It would m<\/span>ost likely create a lack of trust towards Ethereum and have a detrimental effect on the coin’s value.<\/span><\/p>\n

Ethereum Price Prediction 2022<\/span><\/h3>\n

\"Ethereum<\/path><\/svg><\/a><\/picture><\/p>\n

In 2022 the whole crypto market will most likely see the effects of BTC’s 2020 halving. By that time, ETH 2.0 should also be fully implemented into the network.<\/span><\/p>\n

If no stronger competitor overtakes Ethereum as the main smart contract platform, we should expect the number of companies that use Ethereum tokens to increase massively. This, in turn, should create more demand for ETH.\u00a0<\/span><\/p>\n

As the years go by, the public acquires a better understanding of the cryptocurrency ecosystem and its use-cases. Decentralized Finance<\/a> (DeFi) is becoming increasingly popular and, with Ethereum being its backbone, it attracts many new investors.<\/span><\/p>\n

That being said, let\u2019s look at the Ethereum future price while keeping somewhat realistic expectations. In our opinion, the average price of Ethereum during 2022 could be anywhere between $800-$900.<\/span><\/p>\n

Ethereum Price Prediction 2025<\/span><\/h3>\n

\"Ethereum<\/path><\/svg><\/a><\/picture><\/p>\n

Five years from now can look like an eternity, especially when talking about cryptocurrency. Making an Ethereum long term forecast becomes increasingly difficult as many unknown factors need to be taken into consideration.\u00a0<\/span><\/p>\n

Assuming that DeFi and dApps have entered the mainstream, a large number of competitors would most likely try to outrank Ethereum. If Ethereum manages to remain the leading smart contract platform, we could see its price be valued much higher, possibly reaching a value of 0.1BTC on the BTC\/ETH pair.<\/span><\/p>\n

If the price breaks the all-time high of $1400, we would be entering uncharted territory, where anything is possible. Even 5-figure numbers per token.\u00a0<\/span><\/p>\n

In the less likely scenario where a competing platform overtakes Ethereum in popularity and usability, the price could go down considerably.\u00a0<\/span><\/p>\n

Ethereum Price Prediction 2030<\/span><\/h3>\n

To understand how Ethereum will perform by 2030, we need to think about the evolution of technology. <\/span>Trying to make an Ethereum price prediction so far into the future would be pure speculation. But we can assume that artificial intelligence and, in turn, decentralization, will become increasingly important.\u00a0<\/span><\/p>\n

The Covid-19 pandemic exposed the world economy as the “paper tower” that is really is. Unstable, ready to collapse at any moment. Once people understand the importance of decentralization, DeFi might become the new norm.<\/span><\/p>\n

Internet coverage will also increase worldwide, providing all humanity with fast access to decentralized financial services. Faster computers would allow for more transactions per second so that the network can scale with the increased demand.\u00a0<\/span><\/p>\n

All of this could be very beneficial for Ethereum, but giving a specific price estimate would not offer any value to those looking for evidence-based predictions.<\/span><\/p>\n

What do experts say?<\/span><\/h2>\n

Ethereum is a revolutionary technology that has been coveted by many serious investors in the tech industry. Here\u2019s what some of the most influential entrepreneurs thing about Ethereum:<\/span><\/p>\n

\"Ohanian\"<\/path><\/svg><\/a><\/picture>Alexis Ohanian, Co-founder Of Reddit<\/span><\/h3>\n

One of the early adopters of cryptocurrencies, Alexis Ohanian, recently mentioned Ethereum in a Forbes interview. According to him, Ethereum could reach $1500 again. He remains \u201cmost bullish\u201d about the coin, basing his opinion on Ethereum\u2019s popularity among developers.\u00a0<\/span><\/p>\n

\"Green\"<\/path><\/svg><\/a><\/picture><\/p>\n

Nigel Green, Founder & CEO of deVere Group<\/span><\/h3>\n

The CEO of deVere Group, one of the most influential financial advisory organizations, has gone as far as saying that Ethereum could reach $2500 in the near future. He predicts another Bitcoin bull run after the halving, with Ethereum following suit.\u00a0<\/span><\/p>\n

\"\"<\/path><\/svg><\/a><\/picture>Dan Morehead, Panthera Capital CEO<\/span><\/h3>\n

Head of one of the largest crypto hedge funds, Dan Morehead recently declared that crypto is \u201ccoming of age\u201d.\u00a0<\/span>He thinks that the correlation with the stock market is over and that crypto will trade as an independent asset. He believes Ethereum could be worth 5 figures within a couple of years.<\/span><\/p>\n

Useful links<\/span><\/h2>\n