Ethereum (ETH) is one of the most popular cryptocurrencies currently. In terms of market cap, it is the second-largest cryptocurrency (over US$422 billion market cap). Now, the question comes should you invest in it? Is it a good investment? What will be its price by the end of 2021 or 5 years later (2026)? To answer all your queries, let me walk you through Ethereum (ETH), its fundamentals, and the ETH price forecast.
Ethereum is a decentralized open-source blockchain that provides you with smart contract functionality. The native cryptocurrency of the Ethereum blockchain is called Ether, which is denoted as ETH. The Ethereum miners have created Ether as a reward for calculations conducted for protecting the blockchain.
Ethereum was co-founded by 8 people, out of which 2 are most important and they are Russian-Canadian Vitalik Buterin and British programmer Gavin Wood. The other co-founders of the Ethereum network are Charles Hoskinson, Anthony Di Iorio, Mihai Alisie, Joseph Lubin, and Amir Chetrit.
The functioning of the Ethereum network started on July 30, 2015, though it was suggested back in late-2013 and an online crowd sale was conducted during July-August 2014.
All these facts and figures will help you to make a decision on investing in Ethereum by making ETH price predictions:
Decentralized blockchain technology is used by Ethereum for:
This network remains at the mark because of the proof of ownership. That’s why the Ethereum network is used by developers to develop DeFi (decentralized finance) and NFTs (Non Fungible Tokens). This is the reason why the ETH blockchain accommodates more than 260,000 varieties of cryptocurrencies. In fact, out of these crypto coins, 47 tokens are among the top 100 largest cryptos, in terms of market capitalization.
A peer-to-peer (P2P) mechanism is followed by the network. With the help of smart contracts, it has become very easy to create agreements and thereby shift money to anyone across the world in a faster, automated (without the involvement of 3rd parties), and more cost-efficient manner.
With the implementation of the sharding method after the Ethereum 2.0 upgrade, the Ethereum network will scale up the speed of transactions to 100,000 transactions per second or even more.
ETH price is hovering around US$3,580.77 at press time and it has increased by more than 390% in the last ten and half months.
By the end of 2021, the price of each ETH coin is expected to reach anywhere around US$4500 to US$5000.
By the end of 2022, the price of each ETH token is expected to reach anywhere from US$5,311.98 to US$15,962.33.
Ethereum’s price is expected to hit an all-time high price at US$25,757.41 in the next 5 years.
Always remember that cryptocurrency investment advice always comes with the risk of loss. As prices of cryptocurrencies are highly volatile, you should be ready to consider the loss aspect too. If you can’t afford to lose money, crypto investment is not for you. Instead invest in fixed income assets. To be sure about your investment, always go through the fundamentals, technicals, and price history trends of the Litecoin market. Once you are absolutely sure about investing, go through the Litecoin network price prediction, and then invest.