It is the first time in two-and-a-half years that Ether hits the all-time high, following Bitcoin, and by the looks of it, the cryptocurrency will reach significant psychological heights this week.
It is the second-largest digital asset after Bitcoin, with a market capitalization of $61 billion as well as an average daily trading volume of $22 billion. Ethereum is slowly staging a comeback from poor performance as it has gained over 6% in the last 24 hours and more than 18% on a weekly basis.
This blockchain network uses smart contracts for carrying out transactions, which are 100% secure. There is no fixed supply for Ethereum, unlike BItcoin, which makes it a lot more scalable than other cryptocurrency alternatives. This could be the primary reason why more and more investors are attracted to it and believe that Ether will ultimately outperform Bitcoin, among other crypto assets.
But how realistic are these expectations and beliefs? Are Ethereum and other alternatives of Bitcoin a good investment option? Let’s take a look at the cryptocurrency market and some price predictions to analyze how Ethereum will be performing in the near future.
Ethereum hits $500 for the first time since June 2018
Data accumulated from Cointelegraph Markets showed Ethereum hitting the significant barrier on 20 November 2020. The cryptocurrency’s progression delighted traders even though it was capped at 6$ daily gains. Traders noted that it is the largest an altcoin has ever performed, outperforming Bitcoin.
As per market statistics, year-to-date returns for ethereum are 284%, whereas, for Bitcoin, it is 155%.
This is after the coronavirus hit the markets globally during mid-March, inducing a cross-asset crash. However, Bitcoin (BTC) was still at a high as compared to other cryptocurrencies. When the crash occurred, Ethereum was traded at just US$117. So, last week’s increase was a whopping 327% for Ether. It is after more than two long years that Ether has crossed the $500 limit.
Alongside Ethereum, other altcoins also showed some promise and signs of improvement, particularly the Libfx token, which with a 3.16% gain, is standing tall at $59.40. It is one of the few altcoins that has performed so well in recent times, forcing traders to re-think about investing in any other cryptocurrency presently.
Libfx token was developed with an aim to handle the problems of the online forex trading industry. It was created by Liber Ltd and provides a low-cost, transparent, secure, and decentralized forex trading experience. Liber Ltd uses a set of protocols that makes the Libfx transactions quick and easy from anywhere, anytime, and with any amount.
At present, Liber Ltd is supporting payment by Ethereum and Bitcoin. Based on the amount of owned tokens, you will receive monthly profits. Also, you can change the Libfx token into ETH or BTC as per your requirements.
ETH Price Prediction: what can one expect in 2020?
With just two months left of 2020, traders are glad that Ethereum has picked up the pace. This has already been a tumultuous year for the financial markets, including cryptocurrency.
ETH faced the wrath of the coronavirus crash, just like other assets. Between 11 March 2020 and 13 March 2020, Ethereum price fell from $200.70 to a drastic low of $89.73. Since December 2018, it was the first time ETH had fallen to double figures.
However, by the end of April, ETH was able to recover from the market crash and hit $200 again. Throughout 2020, this bullish trend has continued.
It picked up the pace in October when ETH price crossed $400 and has remained largely above this price till now. As November nears an end, people are already expecting that ETH will cross the $600 mark.
Experts always suggest that looking at the past performance of a cryptocurrency is always important while making valid crypto predictions. In the span of six months, ETH has experienced two dramatic price drops with periods of steady growth in between. So, if this pattern repeats itself as time progresses, it can be said that the price of ETH could approach $600 by the time we enter 2021.
What About Bitcoin?
Bitcoin has rechallenged its previous top of $18,420 and is continuing to hit resistance. Experts and enthusiasts anticipate that more gains will happen by the end of the year. Before this, 2017 was the only time when Bitcoin experienced a major resistance level at $20,000.
The Launch of Ethereum 2.0
Eth2 or Ethereum 2.0 is the long-awaited upgrade to the original cryptocurrency platform. The full upgrade will be completed by December 2021, with Phase 0 already taking place in December 2020. With the launch of this upgrade, the price of Ethereum is likely to skyrocket in the coming months.