Ethereum, the second highest cryptocurrency by market cap, has always been one of the most popular Altcoins. Founded in 2015, ETH is so much more than just a cryptocurrency and its highest price rise was seen during January 2018.
Ethereum is a huge ecosystem of blockchain technology, which provides a platform for new and upcoming projects for token creation, smart contracts, and help them create their DApps too.
ETH token is the in-house currency, which currently trading at a value of $152.08, after losing 91% of its market cap to the bearish trends of 2018.
The highest price that Ethereum token ever touched was in January 2018, when it broke into $1000 price bracket within a week, making a 60% gain. The highest price it ever touched was $1389.18 on January 15, 2018.
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Can Ethereum Technology Ecosystem Push Its Prices Further up?
Unlike Bitcoin, which was invented by Satoshi from a purely economic perspective, as the White paper title says, “Bitcoin- A peer-to-peer cashless network.” Ethereum, on the other hand, has invested more in technology and creating a platform, rather than just cryptocurrency.
Many analysts and investors believe, this technology ecosystem aspect might drive the prices further up and break into a $1K mark.
While the transaction volume of Bitcoin is definitely much higher than Ethereum, but the technology factor of ETH makes it a prominent player in the blockchain game.
People, brands and institutions have started to make use of the smart contracts to execute the plans properly and cut out the middlemen which has increased a huge demand for Etherum network.
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What Made Ethereum Lose 91% of its market cap Last Year?
2018 was the year of doom for crypto investors and enthusiast as the predictions of prices touching new heights fell flat on its face.
Being a new technology, Blockchain is still being refined and checked for best implementation. Many believe the reason behind Ethereum’s massive loss was fake projects and dried up Initial Coin Offerings (ICOs).
The Blockchain based market of cryptocurrency is highly volatile and its prices are highly governed by Word-of-mouth and PR Buzz. The failing ICO market and Bearish trend combined, made many lose their confidence in ETH, making it the biggest loser in the crypto market bloodbath.
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How High Can the Prices Of Ethereum Reach?
Any cryptocurrency making a debut on the Trade market gets directly compared with the Pioneer Bitcoin. Ethereum founded in 2015 has always been among the top 5 cryptocurrencies, and many believed its prices can reach the heights of Bitcoin, but the timeline would be longer as well.
Cryptocurrency market prices are governed by various factors, and Ethereum seems to have most of those factors in its favor. So, many in the crypto realm believe that the time would surely come. Let us analyze the factors which would govern the high price rise of Ethereum.
The Ethereum Ecosystem
Ethereum is not just another crypto with Blockchain underneath, it has a whole ecosystem of Token creation platform, Ethereum smart contracts, Ethereum Virtual Machine. The whole ecosystem creates a sense of stability, and confidence among the community.
As we discussed the market volatility of the cryptocurrencies is governed by media coverage and advertisement. The more you are in the public eye, making your entity stronger and better, the market rate would grow higher. ETH has its fair share of media coverage and publication houses, boosting its position.
Bitcoin has slowly garnered many vendors accepting its digital token, however, ETH has great partnerships with hundreds of companies and brands. These partnerships help Ethereum network to flourish beyond the realm of cryptocurrency and make underneath Blockchain technology, even more acceptable. Which in turn would reflect in growing market prices.
Ethereum has recently regained its second spot which was overtaken by Ripple. The due Hard-Fork of the network scheduled on January 15-18, has already provided a bullish push to the prices. If creating the fork help its network to scale further, the prices would definitely gain some upward momentum.
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