A team of experts predicts that the Ethereum price will hit a new all-time peak of US$5,000 before the end of 2021, but that the cryptocurrency will continue to lose market share to rival smart contract platforms. The Finder.com.au panel predicted that Ethereum will end the year at US$5,114, a 20.8% increase over the US$4,234 it was trading at when the panel was formed on Tuesday morning.
They predicted that the price of Ethereum would rise to US$15,364 by 2025, and that it would reach US$50,788 by the end of 2030. Although CoinFlip CEO and chief adviser Daniel Polotsky anticipated that ETH will conclude the year at $4,500, he believes the cryptocurrency’s long-term growth would outpace that of Bitcoin over the next decade.
Because Ethereum performs a better job of facilitating development on its blockchain and will have a more lightweight proof of stake mining scheme than Bitcoin, he believes it has the potential to become the backbone of Web 3.0. According to Joshua Fraser, co-founder of the Origin Protocol, Ethereum is becoming more and more frequently utilized.
“Ethereum is presently hosting an alternative financial system in decentralized finance, also known as DeFi, that is already significant but is still developing rapidly.”
Ethereum will eventually become one of the most important financial settlement layers in the world. “The price of ETH will be a reflection of this future reality,” he said.
Many of the panelists cited ETH’s first-mover advantage as a reason for their positive projections, although Boston Trading CFO Jeremy Britton was less convinced. “ETH has first-mover advantage, but so did Ford Motors,” he said in an interview with Business Finder.
“With faster speed and lower cost, there are many brilliant initiatives nipping at ETH’s heels,” says the professor.
Over the following 12 months, the panelists predicted that Ethereum will lose 30% of its market share to rival platforms such as Solana, Terra, and Avalanche on average. Thirteen percent of participants said that Solana will ultimately surpass Ethereum, while fifteen percent predicted that another smart contract platform would do so.
As far as possible candidates go, Avalanche and Cardano were discussed. Nansen CEO Alex Svanevik believes that there is place in the market for other smart-contract platforms that make different trade-offs than Ethereum. “There is potential for alternative smart-contract platforms in the industry,” he says.
“However, Ethereum’s network effects are very powerful, making it extremely difficult to dethrone.”
