The price of Ethereum (ETH) has risen dramatically over the last few weeks, reaching as high as $3,470, its highest level since January 6, 2022.
Based on its recent climb, the CoinMarketCap crypto community, with a historical accuracy rate of 80%, is projecting that the digital currency will trade at an average of $3,769 by the end of April 2022 with 32,950 votes.
The estimated price indicates a $288 (+8.29%) increase from the DeFi asset’s current value of $3,479.
At the same time, the votes from 20,447 community members for the end of May have set a somewhat lower goal than April’s, estimating that ETH would trade at $3,653 +$171.82 (+4.93%) to the current price on May 31.
Based on the performance of projections made over the previous six months, the crypto community has historically anticipated the price of Ethereum with an accuracy rate of 79.83%.
Ethereum price analysis
Currently Ethereum is trading at $3,479, up 6.24% on the day and an impressive 11.09% across the last week, according to CoinMarketCap data.
As things stand, ETH has a total market worth of $418.5 billion.
The crypto community is bullish on Ethereum because of the ongoing network enhancements that are aimed at achieving full Proof of Stake (PoS) status. One noteworthy development recently occurred with the launch of the Merger testnet, which is the last testnet for the PoS move.
Proponents anticipate that the PoS migration will have a beneficial influence on Ethereum’s price since it has the ability to cut the cost of transactions on the network, which is now the most significant drawback.
Ethereum becoming the internets collateral
According to Bloomberg’s senior commodities analyst Mike McGlone, demand for ETH is increasing while supply is dropping. As a result, the price of Ethereum is expected to continue to rise as it becomes “the internet’s collateral,” he predicts.
“Demand is increasing, supply is declining and Ethereum’s position at the epicenter of the digitization of finance and money suggests further price appreciation. Ethereum — the denominator for NFTs and top platform for tokenization — is becoming the collateral of the internet.”
Considering ETH is the ‘denominator’ of non-fungible tokens (NFTs) and is a leading network when it comes to the tokenization of assets, McGlone stressed the significance of the Ethereum blockchain down the road.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.