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Ethereum Price Prediction: Ethereum Future Trends 2022-2025

2022-07-27
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Ethereum is the world's largest blockchain community with many applications in technology, gaming, and entertainment, making Ether one of the most widely used cryptocurrencies in the past year.

Since it is a cryptocurrency, what is the trend of Ethereum and the 10-year trend of Ethereum compared to Bitcoin?

Ethereum price chart, current market status of Ethereum


Ethereum is the second-largest cryptocurrency after Bitcoin, and its volatility is not small. Like Bitcoin, it will surge in 2021, once rising to more than $4,800.



Ethereum chart (Source: CM Trade)

What is the market trend of Ethereum?


Ethereum’s market cap is calculated by multiplying the current number of coins in existence (over 120 million) by the price of Ethereum at a given time. The price of Ether has been in the $1,000-1,600 range for the past few weeks, so its market cap has fluctuated between $120 billion and $192 billion.

$1,000 x 120 million = $120 billion

$1,600 x 120 million = $192 billion

Ethereum price historical chart


2015 is the origin of Ethereum, although its value is less than $1, its development potential is valued by investors. Ethereum's intention was to create a blockchain that would not only make virtual currencies, but also allow people to create decentralized applications or engage in smart contract transactions like those used when buying NFTs, thus sparking a lot of interest in crypto enthusiasts .



Ethereum Historical Chart (Source: NextAdvisor)

The first rapid rise in ETH was in 2017, when it hit a high of $826. In 2018, ETH was more than 600 times higher than its price two years ago, reaching an all-time high of about $1,396. On the decline, it finally closed at around $141.

In 2021, the NFT market will explode and become a multi-billion dollar industry. Due to the function of smart contracts, Ethereum has become the most popular platform for minting, buying and trading NFTs. The high demand for NFTs in the market has caused the number of people to buy ETH soared, and the price of Ethereum will soar to 4,800 in 2021. Dollar.

Factors Affecting the Price of Ether


If you want to make money with ether, you must understand the factors that affect its price. As we all know, bitcoin obtains value through its scarcity and can be used to fight inflation, so it is called "gold 2.0".

While ether gains value through its functionality, investors are basically betting that the ethereum network will continue to be used and expanded by developers, so it’s more like “petroleum 2.0.”

Since functionality is the capital of appreciation, one of the biggest factors affecting the price of Ethereum is the overall system upgrade of Ethereum, which will merge ETH1 and ETH2, which will greatly affect the return model of Ethereum.

Before the upgrade, Ethereum adopted the PoW proof-of-work method, using graphics cards to mine in exchange for miners' compensation, which is similar to Bitcoin's mining mode, but in addition to consuming too much green energy, it also has to pay high electricity bills.

After the upgrade, it is changed to the PoS equity proof method, and the existing currency is pledged in exchange for compensation, which is equivalent to the concept of the current interest rate.

That is to say, after the upgrade, ether can only be obtained by purchase, but cannot be obtained by mining. The production volume will also be changed from 12,000 a day to 1,280, and the processing speed will be faster per second. Therefore, not only will Ethereum not be replaced every year in the future If it increases, it will be in a state of scarcity, which will undoubtedly cause the demand for ETH to exceed the supply, causing the price of the currency to rise. This move to upgrade and merge is expected to be completed in August this year, and it will inevitably become a decisive moment for the entire currency circle.

The investment potential of ether




Image credit: Pexels (Jievani)

When investing in Ethereum or any other virtual currency, price fluctuations are only part of the transaction. If you want to invest in cryptocurrencies, of course, it is best to start with two of the most well-known veteran cryptocurrencies on the market: Bitcoin and Ethereum .

Bitcoin, the first cryptocurrency, is more expensive, with a single bitcoin currently averaging around $20,000, while ether has a much lower barrier to entry than bitcoin, currently hovering around $1,500.

Both Bitcoin and Ethereum have similar risks, so most experts say that if you are new to investing in cryptocurrencies and can’t choose between the two, you can actually consider investing in both, just make sure the amount is something you can afford within the loss range. In addition, for investors who have just invested in ether, we have compiled some successful experiences of ether investment for your reference: How to invest in ether contracts for difference [CFDs] (successful investors' advice)

As mentioned earlier, Ethereum investors mainly look at its development prospects, because it has the support of the entire encryption industry, as well as industry experts and technical analysts alike, not only because it is cheaper than Bitcoin, Rather, it is absolutely feasible to use ethereum as an investment vehicle because of the limitless potential that its technology and upgrades bring.

Prediction of the trend of ether in the next five years


Since the beginning of 2022, the price of Ethereum has continued to fall, and bearish sentiment in the crypto market has begun to spread, however many experts assess that the merger upgrade in August this year passed the last wave of testing to increase the scalability of the network to 100,000 transactions per second. trade, which could bring the price above $1,800 by the end of the year. Then, with funding from partners, alliances, and communities, prices will be quite optimistic for the next year.

According to the latest news from the platform, with more software updates, technology upgrades and new project forecasts, we expect new partners and new projects to be added around 2025, which may push up the price of ETH in the market to around $2,900, even if Facing a reversal due to policy and other reasons, it will also be supported at around $2,340.

Around 2026, when the market has stabilized and most cryptocurrencies have found their niche, ETH should also see significant growth, with the highest price expected to be around $3,000 according to our forecast. Then in the next few years, a new all-time high of $6,000 will be made and the bull market will return in the near future.

While there are many challenges in predicting cryptocurrency prices, the experts we interviewed generally have a long-term bullish view on ETH, so it’s not a question of whether it will rise, but how high it will be!

Where to Invest in Ether


To do ether trading, you can analyze it through technical, news, and chips. If you want to try short-term positions, and have long and short needs, then trading ether on CM Trade is very suitable for you.

The CM Trade platform is open 24 hours a day all year round. As long as you judge the right time to buy and sell, you may get several benefits in one day. Of course, all investment transactions are a form of speculation, except that the heart must be big enough, in fact, for investors with precise vision, it is very convenient to operate on a platform like CM Trade.

In particular, CM Trade's margin deposit is independent and supports multi-channel fast deposit and withdrawal. Compared with other platforms, the trading experience is more convenient and safer.

Create a free CM Trade account now to conduct regular transactions!

The above information is provided by special analysts and is for reference only. CM Trade does not guarantee the accuracy, timeliness and completeness of the information content, so you should not place too much reliance on the information provided. CM Trade is not a company that provides financial advice, and only provides services of the nature of execution of orders. Readers are advised to seek relevant investment advice on their own. Please see our full disclaimer.

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