A strategist from Fundstrat Global believes that Ethereum’s price can easily reach the $10,500 mark after ETH only set a new all-time high on most exchanges on Tuesday, January 19th.
If you want to read more about Ethereum’s course and why the analyst David Grider thinks it will easily reach the $10,500 mark, download for free the Born2Invest mobile app. Our companion app brings you the most important updates in the crypto sector and the latest business news in the world so you can stay informed.
Ethereum soon above $10,000 due to DeFi?
David Grider, an analyst and strategist at Fundstrat Global Advisors and colleague of Charlie Lee, believes the second largest cryptocurrency, Ethereum, has a good chance of reaching the $10,500 mark, Bloomberg reports.
Grider’s expectation is based in part on the high popularity of Ethereum-based financial apps and DeFi.
In addition, the network is now one step closer to implementing its long-awaited update to Ethereum 2.0, which should allow it to process the same gigantic amount of transactions that Visa and Mastercard process for their customers.
On Jan. 19, the strategist published a note saying that Ethereum-based DLT computing could be the future of the cloud and that ETH is the “best risk/reward investment play in crypto.”
Demand for ETH meets falling supply
In addition, Ethereum is also expecting an Ethereum Improvement Proposal (EIP), whereby a portion of the fees paid in ETH will be wiped out forever to reduce the overall amount of ETH. In the best case scenario, this may even lead to a long-term decrease in the number.
With the growing DeFi field, Ethereum is becoming increasingly important for processing transactions. If you want to use dApps on ETH, there is no way around the native cryptocurrency. Still, it has a long way to go to reach a possible price target of $10,500.
Ethereum price on the verge of a breakthrough
The decisive factor is whether Ethereum puts its all-time high behind it in the next few days or weeks and moves into Price Discovery. From this point on, there are no limits for ETH for now, as these heights have never been reached before.
Many assume that after a breakthrough, prices of $1,800 and more are quite possible. However, it should not be forgotten at this point that Ethereum had a 91% increase this year alone.
The all-time high was just exceeded on most exchanges, but the selling pressure was too high and sent the ETH price back towards $1,250.
Ethereum is primarily an open source platform with its own blockchain for the processing of self-executing intelligent contracts. In short, smart contracts. Fees for the transactions of the smart contracts are paid with the in-house crypto currency Ether (ETH). ETH is the “gas that drives the Ethereum machinery” and has developed into the second largest cryptocurrency by market capitalization in recent years.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in CRYPTO MONDAY, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
Chainlink (LINK) with big update and new possibilities
Chainlink has released the OCR (Off-Chain Reporting) update, which can open up new data sources and generally increases performance. It...
Mazzanti manufacturer launches a STO after three equity crowdfunding campaigns
The campaign launched by Mazzanti has a duration of 60 days and has a minimum target of $964,000 (€800,000) and...
Gimme5 and Conto Lingotto enter Nexi Open, Nexi’s ecosystem for open banking
In 2020, Nexi Group reported Ebitda of $724.3 million (€601.4 million), up 2.5%, against revenues down 2.8% to around $1.25...
Why cotton futures made a new weekly chart high close
Cotton futures were higher for the week and made a new weekly chart high close once again. The weekly export...
Silver Supply Shortage: What Investors Need to Know
Precious metals received renewed interest as investment vehicles in the face of a global pandemic, as inflation-proof hedges in an...
Crypto7 days ago
Bitcoin slips back to $53,000 and major altcoins go lower on February 22nd
Biotech7 days ago
BB Biotech: Positive development in a volatile market environment
Featured7 days ago
The keys to ESG investment in 2021 in the face of growing interest and profitability
Business6 days ago
Virtual Reality (VR) mingles with team sports