Ethereum Price Prediction – how high can Ethereum go in 2021?

Cryptocurrencies such as Ethereum have struggled to bounce back after what was a steep, market wide sell off over the past month. However, Ethereum’s growth over the past 12 months alone still equates to 667%. It is clear that investors are taking cryptocurrency seriously, and corporations are starting to follow. We have seen large scale tech firms such as Palantir recently start accepting Bitcoin as a form of payment. With a new wave of investor interest, lets breakdown Ethereum’s outlook according to analysts.

How is Ethereum performing?

Ethereum’s price has recently rebounded after what was a 2 month slump. Ethereum reached heights of $4,372.35 in early May, which occurred much faster than analysts expected. Ari Wald, Head of Technical Analysis at Oppenheimer noted on CNBC that the growth of Ethereum coin has been “outstanding”. However, the analyst warned that high volatility is to be expected in the near future. Ethereum is now bouncing back after what was a volatile few months, gaining 15% for the week.

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Ethereum price targets from analysts

Looking ahead at the Ether forecasts, we can see analysts are keying in on Ethereum hitting the $10,000 mark by the end of the year. For example, Megan Kaspar, the co-founder of Magnetic released a $8,000-$10,000 price target for Ethereum according to Yahoo finance. This bullish target represents a 325% upside from the current price.

In addition, FundStrat also believes Ethereum will hit the $10,000 mark by the end of 2021. Lastly, YAP Global founder and CEO Samantha Yap also gave a price target of USD $10,000, cementing the bulls confidence in the midterm outlook of Ethereum. From the bullish targets above, we can see the general consensus target is around the $10,000 mark for 2021.

JP Morgan turns bullish on Ethereum

This week analysts at JP Morgan noted in a report that “Ethereum’s shift to proof-of-stake will spur crypto adoption and help generate $40 billion worth of value by 2025” according to Forbes. It seems the bank has shifted their outlook on Ethereum as analyst Nikolaos Panigirtzoglou previously noted that the crypto should be currently trading at the $1,000 mark based on network activity.

The previous $1,000 valuation was derived from a simple assessment of mining activity and the number of unique active addresses on the Ethereum network. However, Panigirtzoglou did note the increased interest from institutions was a driving factor in a higher Ethereum price. We will see over the next few months if Panigirtzoglou updates the currencies fair value after Ethereum surpassed Bitcoin in active addresses on the network.

The bottom line

In summary, the crypto-economy is evolving rapidly. The recent success this year of Ethereum and other Alt-coins has created a new wave of sentiment not yet seen in the crypto market. For Ethereum, the bullish forecasts are a positive sign for investors looking mid term. However, with greater interest and volume will also associate a greater risk to the investor. We will see over the next few weeks if the crypto-economy will break out of the bear market.

The information above is not financial advice. Youth Investment Group has no liability for personal financial interests or investment decisions. You should make your own investment decisions based upon your own research and what you believe is best for you.

Written by Tyger Fitzpatrick, Founder of Youth Investment Group.

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