Ethereum Price Analysis – Can ETH Price Reach $10000?

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Ether has been one of the most exciting cryptocurrencies in 2021. So far, this has been a terrific year for it, going into a series of upsurges and declines. 

The coin, which was created with its Blockchain technology, started the year at $737. It reached $2000 by February, declined to $1800 in March, and stabled back to $2000 in April, 

On May 12, it had a record-breaking peak of $4362. The coin fluctuated between $1900 and $2900 in late May when it could not reach $3000. By June 22, it was at 1707.60, its lowest level since April. The coin remained volatile, soaring high and plummeting over the next few months. 

As of October 26, 2021, the ETH price is $4,186.87. 

Recent development in the Ethereum Blockchain has spurred its volatility: its gradual move to Proof of Stake ( POS), and its increased adoption by NFTs and DeFi Apps. 

These developments had made some forecasters predict that it would soar to $10,000 or more in the next few years and upgrade to being a worthy competitor of Bitcoin. 

What Are the Key Price Drivers of Ethereum?

Like other cryptocurrencies and fiat currencies, the general law of supply and demand determines the Ether price. However, other imminent factors are set to influence its price: 

  • Upgrade Of Ethereum Blockchain: As a native owner of its blockchain ledger, Ethereum wants to upgrade its system to Ethereum 2.0. The new Blockchain will improve the network’s speed, scalability, and security while reducing its transaction fees. 

The network will verify blocks and mine coins with the proof of Stake algorithm and leave the well-known Proof of Work. 

The new system will reduce the amount of electricity consumed from mining, thereby less cost on the blockchain. Its speed and scalability will lead to increased usage.   

  • Usage: As mentioned before, Ether is tied to the Ethereum Blockchain and the Ethereum Blockchain had over 2,000 dApps. The increased involvement of people on dApps will impact Ether in the future. 

Developers of DeFi applications and sellers of NFTs are turning to Ethereum due to its smart contract features. The feature enables them to use its coins as collateral for finance-related services like trading, savings, loans, and insurance. 

As numerous DeFi apps are already developed in Ethereum and NFTs are purchased there, transactions increase on the network. More transactions will give it a greater chance of competing with Bitcoin. 

Other factors that will affect its price in the next few years include its transaction volumes, media exposure, and the cost of Bitcoin. 

Forecasting Services’ Prediction About Ethereum Price

  • Wallet Investor: According to Wallet Investor, the ETH price could clock $10632.7 by January 2025. It could start its upward trajectory by reaching more than $4000 in early 2022 before ending the year at a minimum of $6749.170. All in all, Wallet Investor predicts that the price of Ether will continue to grow. 
  • Digitalcoinprice: On the other hand, Digital Coin forecasts that ETH price will average $7327.19 in 2022, $8573.99 in 2023, $12678.31 in 2025, and $14561.00 in 2026. Digital Coin believes Ethereum could be over $18388.54 in 2028. 
  • Trading Beasts: Trading Beast doesn’t predict a bull run in the price of Ethereum for the next few years, but it also foresees an increase. It expects Ethereum’s minimum price to be between $3,412.240 and $3,603.828 in December 2022 and December 2023. By 2024 end, its price could be $3,682.351. 
  • CryptoGround: CryptoGround prediction about Ethereum is also optimistic, although not as bullish as some of its counterparts. CryptoGround predicts that the Ethereum price could be $6,615.9892 by 2023, $8,043.7461 by 2025, and $8,748.2765 in 2026.  The forecasts service did not think of a drop in ETH prices over the foreseeable future. 
  • Standard Chartered: Analysts from Standard Chartered also made predictions about Ethereum. They believe ETH could average $19842 by 2025. The panel, which includes Thomson Reuters, Joel Kruger, and Joseph Raczynski, amongst many others, think the upgrade and innovation being brought to the network will bolster its functionality and efficiency, thereby increasing its valuation. 
https://mobile.twitter.com/ForbesCrypto/status/1391943784057946115

 

Cryptoknowmics also tweeted about Ethereum’s price in 2025. Its prediction is not as high as Forbes Crypto’s. On August 19, 2021, it tweeted:

https://mobile.twitter.com/ckmnewsfeed/status/1428244037698347013

Every financial product has been affected by the pandemic, including the stock market, commodities market, and even the cryptocurrency market.

Analysts Comment About Ethereum

As the 2nd largest cryptocurrency after Bitcoin, Ethereum has attracted a large number of investors and billionaires. Having seen its potential, some of them have started investing in Ethereum over Bitcoin. 

Predictions by famous investors like James Wang, Mike Cuban, and Daniel Daychopan believe ETH bridges the gaps not covered by Bitcoin. Thereby, it would be an indispensable crypto coin over the next few years.  

The consensus from most forecast organizations and individual analysts is that Ether’s price will increase over the next few years. Most of them predict a bullish run, while some predict a steady increase. 
Even though the predictions are from reputable sources, they aren’t always correct. Cryptocurrency’s price volatility and Ethereum’s recent fluctuations have given us enough reasons why investing in the coin is still considerably risky. Therefore, making an investment decision should be based on how much risk you are willing to take. So it is essential to do in-depth research, study market trends, and listen to experts in the field.

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