A group of Australian fintech panelists has expressed their bullish view about the price movement of the second largest crypto asset by market cap, Ethereum, in a recent survey carried out by Finder.
Ethereum to end the year at $6500
According to the report, crypto enthusiasts can expect the value of Ethereum to rise to as high as $7609 before the end of this year; however, the analysts predicted that the digital asset would only finish the year at around $6500.
Speaking on what the asset’s price would be by the end of this decade, the analysts stated that they believe that ETH would be exchanging hands for $26338.
“Over half (52%) of the panel think now is the time to buy ETH, with 30% saying you should hold onto what you’ve got. Just 19% say it’s a good time to get out.”
This is a far cry from what the analysts had earlier predicted for ETH. In 2021, the analysts had predicted that Ethereum was going to finally cross the $5k mark before the end of the year and that by 2030, its value would have risen to $50788.
But Ethereum’s current all-time high of $4891 was set before the end of 2021, and the asset has since shed over 30% of the gains. As of press time, it is currently trading for $3047 after a very poor start to the year that saw the asset trade for as low as $2172.
Diving deeper into the price prediction
A cursory look at the analyst’s predictions would show that an overwhelming majority of them (79%) believe that Ethereum’s migration to a proof-of-stake network was going to affect the price movement of the asset positively.
In comparison, 11% of them thought that the persistent high gas fees alongside its scalability issues would continue to impede its price action.
The CEO of NDAX, Bilal Hammoud, was of the opinion that
“Ethereum’s latest upgrade turned into a deflationary asset. Proof-of-stake will further lock up ETH for staking rewards, which in theory should influence the price to go up as supply decreases, while demand increases.”
Ethereum’s current gas fees and scalability issues are a widely known problem battling its ecosystem. This has allowed other smart contract-enabled platforms like Solana, Terra, and Avalanche to eat into its market share.
However, the general overview amongst crypto enthusiasts is that the asset would regain its lead over these rivals once it can sort its issues.
A report by Ark Invest earlier in the year posited that Ethereum’s market cap would reach $20 trillion by 2030. If this were to happen, it means that the asset’s value would be comfortably trading above $170k per unit.
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