Ethereum (ETH) is the second most popular cryptocurrency and the biggest altcoin in terms of market cap. At its core, the crypto project is famous for creating the most widely used decentralised blockchain, which operates on advanced crypto technology. A solid team of creators, constant strive to implement innovative features, and a blockchain with vast functionality in the crypto space back the success of Ethereum.
The native coin of the Ethereum blockchain is called Ether (Ticker Symbol: ETH). It has been subject to social buzz, expert predictions, and rapid price fluctuations. This intriguing investment opportunity leaves crypto enthusiasts wondering what comes next for Ethereum in 2024 and beyond.
This guide will examine the Ethereum project, Ether, and its value as a cryptocurrency. Following that, we will review some expert opinions and see where its price may head in the short and long run.
Key Points:
- Ethereum (ETH) is the second most popular cryptocurrency and the biggest altcoin in terms of market cap
- Ether, the native cryptocurrency of the Ethereum blockchain, reached an astonishing all-time high of $4,815 on November 9, 2021
- Investors eagerly await to learn what is the future trajectory of Ethereum, as bullish predictions by experts reach $19,954.40 and higher by 2030
Overview of The Ethereum Project
“Crypto is the future of finance” has been the topic of the century, as the rapid growth of the industry and the returns the new digital assets propose are outstanding. Ethereum is a pioneer in the cryptocurrency revolution, but what gives value to the thrilling project? Let’s find out by digging into the building blocks of the Ethereum project.
To start with the basics, you can think of Ethereum as a globally available network of computers that all follow the same protocol. Due to the decentralised and secure nature of the network and its peer-to-peer functionality, a vast community of investors, designers, engineers, developers, and entrepreneurs utilise the project’s ecosystem daily.
One of the most significant assets of the project is its visionary blockchain. The blockchain created by Ethereum is the most popular and widely used in the crypto industry.
It proposes many benefits, including decentralised operability, enhanced security, accurate traceability, adaptability, and capacity for development. As a result, the blockchain creates opportunities for secure execution transactions and the creation of advanced decentralised applications.
The unique selling point of Ethereum that makes it stand out from other blockchain competitors is its integrated computer programs known as smart contracts. They are computer programs and flexible tools used to create products and services in numerous sectors. Some examples include Decentralized Finances (DeFi), Decentralized Autonomous Organizations (DAOs), Decentralized apps (Dapps), and even NFTs.
With so many use cases, functionalities, and a broad community of active users, you may ask yourself, what keeps everything in place? In the next paragraph, you will find the answers hidden behind Ether, or as the project outlines it, the lifeblood of their blockchain.
Ether (ETH) Explained
In its essence, Ether (ETH) is the native crypto coin of the Ethereum blockchain. It is digital money, and due to its functions in the network, and price appreciation potential, it has quickly turned into the second most preferred cryptocurrency and the largest altcoin in terms of market capitalization.
Ether is much more than a simple cryptocurrency. It serves as the fuel for Ethereum’s blockchain engine. One of the main use cases of the popular digital currency in the project’s ecosystem is its peer-to-peer transactions. As it is a cryptocurrency, users can send ETH from one wallet address to another in a way that excludes all third-party interventions.
Moreover, the payments are executed using cryptography technology, making them secure and traceable, as the blockchain is public to all users. Transfers are fast, usually conducted in a few seconds, making ETH a flexible choice compared to traditional banking services.
Ether is also cheaper compared to other financial services. However, you still have to pay gas fees on the Ethereum network. These taxes are applied for the proper operation of the blockchain and the accurate recording of transactions on the network.
Therefore, Ether is a medium for exchange across its wide variety of services, meaning users need to utilise the digital currency to create Dapps, make transactions, etc.
Traders can also swap ETH for other cryptocurrencies like Bitcoin and earn interest while staking the token. With further advancements being introduced by Ethereum’s team, the scope of the cryptocurrency and its use cases has the potential to increase substantially in the near future.
Many factors influence the price movement of Ether. One innovation, however, stands out, as it has changed the landscape of Ethereum and pivoted the asset’s price movement. Find out how “The Merge” transformed the future of Ethereum in the following paragraph.
The Ethereum Merge and The Impact it Created in The Crypto World
The Merge, which was executed on September 15, 2022, was a pivotal point for Ethereum and its blockchain. It concluded the ongoing efforts of the developers to move Ethereum from a Proof-of-Work (PoF) to a Proof-of-Stake mechanism.
Before the transition occurred, Ethereum was separated into two systems – Mainnet and the Beacon Chain. While PoF and PoS share similarities, like the secure processing of transactions, the PoS relies on users staking, instead of mining crypto, to confirm transactions and create new blocks.
Therefore, the Merge combined the functionalities of the original Beacon Chain and the Ethereum Mainnet to create one chain. The results of the transition from PoW to PoS became instantly evident, as Ethereum became 99,5% more energy efficient. Moreover, it boosted the chain’s security and reduced gas fees by simultaneously making it a greener blockchain.
Ethereum’s Merge was the event of the year in the crypto space, and investors closely followed the coin’s value for its high ROI potential surrounding the hype. However, the conversion took place alongside the FTX collapse, which caused the whole crypto market to collapse. As a result of FTX filing bankruptcy, the price of Ethereum plummeted by 26.02%.
Following the Merge, Ethereum slowly recovered to its current price of $1,940.01. Since its creation in 2015, Ethereum has been influenced by many events and changing market conditions. Read on to find out which events have shaped the value of today’s second most popular cryptocurrency.
Ethereum Historical Price Analysis
To better understand how a cryptocurrency’s price may perform in the future, investors and analysts first closely analyse the historical data of the coin. Ethereum’s data suggests that it has experienced significant price fluctuations throughout the years. The altcoin was introduced to the market for $0.30 and has come a long way to being the second most valued crypto coin.
The first key point for Ethereum’s price development was in June 2017, when the cryptocurrency skyrocketed from a price below $10 at the beginning of the year to its all-time high of $368.98 at the time. The surge was caused by the rapid increase in the popularity of cryptocurrencies, the announcement of the transitions from PoS to PoW, and the multiple ICOs, conducted on the ETH’s blockchain.
Following the rapid increase, the asset was traded around the $300 range until it broke the $1000 mark in January 2018, reaching another high of $1386.02. However, the bull run was short-lived, as Ethereum underwent a correction for over two years.
The turning point for Ethereum, Bitcoin, and the whole crypto industry was the bull market in 2021. Many factors impacted the value of the new digital assets, including the Federal Reserve’s interest hike and investor sentiment shifting to more decentralized finance options. Ethereum introduced advanced technological developments, and the NFTs built on its blockchain hit the news. As a result, ETH reached its current all-time high of $4,878.26 on November 10, 2021.
Regardless of the bull run, the crypto market collapsed in 2022 due to FTX’s crash and the substantial increase in interest rates, tumbling Ethereum to a two-year low of $993.64 in June of the same year. Today, Ethereum is traded for $1,937.08, which is 60.31% lower than its peak in 2021.
Ethereum Price Prediction 2024
Ethereum’s price has slowly been recovering from the crypto winter, with a 61.48% increase year-to-date. ETH’s fully diluted market cap stands at $232,659,942,044, with a 24-hour trading volume of nearly $4 billion. The overall sentiment in the crypto market remains bullish, as the coin reached a three-month high on 2024, surging to $2,022.12.
According to technical analysis data from TradingView, the Relative Strength Index of Ethereum currently stands around 55.2. If the trajectory moves in an upward direction and the RSI moves above 61.00, we may see the coin trade back above the $2000 mark.
Leading experts and platforms for crypto forecasts have shared mixed opinions regarding Ethereum’s short-term price. It is important to note that predicting the volatile crypto market is challenging, and most crypto predictions are formulated on algorithms that can alternate based on the effects of outside factors. Nevertheless, the projections from the following crypto analysis sites give brief insights into the potential of Ethereum in 2024:
WalletInvestor’s technical tools indicate a robust bullish forecast for Ethereum based on the trading activity for the past 30 days. However, the platform indicates that the trajectory will drop in September and conclude the year at an average price of $1465.601 and a low of around $935.334.
DigitalCoinPrice shares a strongly bullish forecast, with an average calculation of around $4,121.11 and a maximum surge of $4,233.46. The platform bases its estimates on the overall bullish investor sentiment and the F & G Index at a low 22.5, indicating extreme fear.
Finder and its team of 32 industry specialists composed a price prediction for Ethereum, which suggests that the altcoin will conclude the year with a price of $2,342. The experts also predict that the ETH will hit a peak value of $2,758 throughout 2024.
Ethereum Long Term Price Prediction 2024 – 2030
Long-term price forecasts, especially for cryptocurrencies, could be tricky, as countless factors could impact how the price will be shaped. As governments worldwide are yet to propose regulations on the crypto industry, the future of digital assets remains uncertain.
Furthermore, as government rules widely influence Ether, giving an accurate long-term prediction is nearly impossible. Yet, the project strives to bring innovations to the table, with Vitalik Buterin, Ethereum’s founder, sharing an updated plan for the future.
Ethereum’s new roadmap shares insights into the upgrades ETH will undergo. The Surge, The Scourge, The Verge, The Purge, and The Splurge are stages of the development journey. They will propose technological advancements in the blockchain and support safer, faster, and more affordable transactions.
Moreover, recent news from Forbes shares that the CEO of Tesla and owner of Twitter, Elon Musk, has made a shocking prediction regarding Ethereum. A Twitter response to a post from the crypto influencer suggests he believes that by 2030, cryptocurrencies will be backed by GPUs.
Besides Elon Musk’s endorsement, it may also be valuable to consider the forecasts of popular crypto prediction sites:
Walletinvestor remains bullish on its long-term Ethereum price prediction. The platform estimates that the value of the cryptocurrency will depreciate to $190.794, suggesting that it may even drop to $95.397 by the end of 2028.
DigitalCoinPrice’s experts, on the other hand, are bullish and predict that ETH will sell for $19,923.72 around the end of 2030. Moreover, they are optimistic that it may even break the $2K level, rising as high as $20,117.07 in March of the same year.
Finder suggests that Ethereum will hit $5,491 by 2025 and reach as high as $14,814 during 2030.
Conclusion
Ethereum stands out from other cryptocurrencies as a token with functionality and real-life use cases. Serving as the native token of the project’s blockchain, Ether plays a crucial role in executing secure and fast transactions and the execution of smart contracts. The future of the biggest altcoin in the world remains uncertain, as numerous factors like investor sentiment, market news and dynamics, and technological advancements may influence its price.
Experts’ forecasts are mixed, giving both bullish and bearish expectations on the short and long turn. Some analysis suggests that Ether will reach $20k by 2030, while others predict the coin will depreciate and drop below $100. Whatever the case, you should conduct thorough research and get advice from specialists before investing in the volatile crypto market.
Frequently Asked Questions
CryptoGlobally aims to offer impartial and trustworthy data on cryptocurrency, finance, trading, and shares. Yet, we can't give financial guidance and encourage individuals to conduct their own studies and thorough checks.