Ethereum Missed to Make a Comeback! US$2,700 is the Next Stop

Now, when Ethereum has missed a chance to make comeback what is next for the token?

The cryptocurrency market is often influenced by several factors like forecasts or political events. However, after several analyses and surveys, researchers and crypto analysts have found that the crypto prices have been largely driven by the first-mover cryptocurrency, Bitcoin. In 2022, all cryptocurrencies including Ethereum are facing a downtrend. The crypto witnessed new all-time highs in 2021 when the ETH token crossed the US$4,000 resistance successfully. But after the market meltdown in the Q4 of 2021, Ethereum has been facing severe volatility issues. Investors were hoping that this cryptocurrency will make a dramatic comeback but things didn’t go as expected as a token is having a hard time crossing the US$3,000 resistance. And since it is a well-known fact that all the cryptocurrencies are correlated with each other, it should come as no surprise that ETH goes down whenever BTC does. Basically, Ethereum is known to yield more returns than Bitcoin, but right now, with the delay in Ethereum’s upgrade that is postponed to be launched in the Q3 of 2022, experts predict that the crypto will soon collapse and investors might suffer major losses!

According to coinmarketcap, the current valuation of Bitcoin stands at around US$36,229, and that of Ethereum is around US$2,700. In the first week of April, Bitcoin finally reached a breaking point at US$47,000, where key indicators predicted that the crypto needs to move past this position in order to break its bearish trend. The same was indicated for Ethereum. If Bitcoin would have crossed the US$50,000 resistance, it still would have been possible for Ether to at least cross US$3,500. But neither of them happened. It seems like investor market sentiments are mostly seeking other alternatives to these two, or they are probably moving from digital assets to hard assets.

 

What Is Ethereum (ETH)?

Ethereum is a decentralized open-source blockchain system that features its own cryptocurrency, Ether. ETH works as a platform for numerous other cryptocurrencies, as well as for the execution of decentralized smart contracts.

Ethereum was first described in a 2013 whitepaper by Vitalik Buterin. Buterin, along with other co-founders, secured funding for the project in an online public crowd sale in the summer of 2014. The project team managed to raise US$18.3 million in Bitcoin, and Ethereum’s price in the Initial Coin Offering (ICO) was US$0.311, with over 60 million Ether sold. Taking Ethereum’s price now, puts the return on investment (ROI) at an annualized rate of over 270%, essentially almost quadrupling your investment every year since the summer of 2014.

The Ethereum Foundation officially launched the blockchain on July 30, 2015, under the prototype codenamed “Frontier.” Since then, there have been several network updates — “Constantinople” on Feb. 28, 2019, “Istanbul” on Dec. 8, 2019, “Muir Glacier” on Jan. 2, 2020, “Berlin” on April 14, 2021, and most recently on Aug. 5, 2021, the “London” hard fork.

Ethereum’s own purported goal is to become a global platform for decentralized applications, allowing users from all over the world to write and run software that is resistant to censorship, downtime, and fraud.

 

So, is Ethereum worthy of your investments?

Ethereum is at a volatile stage right now, so it is quite difficult to predict if the cryptocurrency is worth investing in. But if you are someone who loves to sail the crypto market volatility, then probably this will be your ship. According to experts, all major cryptocurrencies are expected to rise in the future, given their market dominance, it will surely happen in the coming months, but the question is, when? Most investors are moving towards other forms of investments like NFTs, or traditional assets, but there has been a growing trend of Ethereum adoption, so, the future seems only positive!

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