A $10,000 Ethereum, Is It Possible Before The End Of The Year?
While Bitcoin has been stuck below the psychological threshold of $60,000 for more than three months, Ethereum continues with its rally. Today it hit $4,372.25 in a daily session. This allowed it to reach 500 billion in terms of market capitalization. Crypto has already gained over 470% over the year.
Are we going to have an ETH at $10,000 by the end of the year?
Ethereum is catching up with Bitcoin
This 60% Bitcoin song was repeated to us so much that it ended up being the norm in the market for a very long time. The paradigm shift seems inconceivable but it has started since April. Bitcoin’s dominance is largely diminishing in the market.
As of 15 days ago, its market share was 50% and that of ETH was 13%. At the time of writing this article, we are witnessing an increase in Ethereum and a decline in BTC. 44.3% for BTC versus 19.6% for ETH.
Over the past thirty days, Ethereum has increased by over 100%. After crossing the $4,000 mark, it should not be long before the $5,000 mark is reached by June. Institutional investors are increasingly joining the ranks of Ethereum. ETH futures contracts have risen by more than 570 million in the last month while BTC futures have fallen by 2%.
The argument of undervaluation
If there’s a reason ETH is believed to have the potential to hit $10,000 by the end of the year, is its contribution to the cryptocurrency industry. Ethereum promotes the scalability of projects in the crypto industry. Moreover, the majority of DeFi, NFT and DApps projects are undertaken on its blockchain. The European Investment Bank (EIB) has issued its first digital bond of 100 million euros on Ethereum.
Indeed, experts believe that the current price of Ethereum is undervalued given its usefulness. The Independent Journal tells us that an assistant professor at University College Dublin, Dr Paul Ennis, believes Ethereum is undervalued and could hit $10,000 by the end of the year.
Ethereum better investment than Bitcoin in 2021
You’ve already been told that ETH has already recorded growth of 470% over the year. As for Bitcoin, its growth is hovering around 80% in 2021. This means that if you had invested $1,000 in ETH, your investment would be around $5,700.
However, Ethereum faces two major challenges: transaction fees and network congestion. Despite these problems, its blockchain has not stopped being solicited by users. The number of public addresses breaks a record. In just three days, over 100,000 news items were created.