The crypto community predicts that Ethereum will trade above $2000 by the end of September 2022
The cryptocurrency market is experiencing high levels of volatility as it struggles to stay above the $1 trillion market cap level. Meanwhile, the second largest asset by market capitalization, Ethereum (ETH), is also experiencing turbulence as it awaits the long-awaited merger upgrade, which will see it move from the Proof-of-Work (PoW) algorithm to Proof-of-Stake.
Amid the anticipation, investors have increasingly speculated on the movements in the near future. Notably, the crypto community at CoinMarketCap has made bullish predictions about the price of decentralized finance (DeFi) assets estimating that by September 30, 2022, ETH will trade above $2,000.
Using CoinMarketCap’s price estimates, the community estimated that Ethereum will trade at $2,102 by the end of September, an increase of 29.16% from the asset’s current price.
The estimate represents the average of the 2,154 votes cast by community members at the time of publication.
Ethereum Price Analysis
As it stands, Ethereum is trading at $1,625, up 4.5% on the day and down 13.8% over the past seven days, according to data Finbold obtained from CoinMarketCap. Meanwhile, according to the data, the total market capitalization of ETH is currently $198 billion.
In particular, crypto trading analyst Rekt Capital proposed in its technical analysis that ETH may soon form a lower high, such as in 2021.
He said: “It is not out of the question as ETH recently failed to retest the orange area as support. And then it is possible for ETH to collect emergency aid to orange to confirm it as resistance.”
Cryptanalyst’s opinion
In August, Antoni Trenchev, the co-founder of crypto-lending platform Nexo, acknowledged that there is an opportunity for Ethereum’s price increase. Still, it will depend on the initial success of the upgrade based on a “positive feedback loop,” which suggests that the initial success of the merger is key to driving Ethereum much higher.
Elsewhere, Mike Novogratz, CEO of cryptocurrency investment company Galaxy Digital, revealed that he currently considers Ethereum his highest belief on crypto trading due to the impending merger upgrade. While a report earlier in August said the merger would act as a catalyst to propel Ethereum towards becoming a “global institutional asset.”
Additionally, amid the market turbulence, Ethereum ranks at the top of the projects with the most development activity in the past 30 days as of August 22; but there are those who have doubts about the optimism surrounding the event planned for September 15.
In fact, Meltem Demirors, the chief strategy officer of crypto-asset management company CoinShares, suggested that the macro environment could deter new capital from entering Ethereum, calling it, in her view, “buy the rumor, sell the news situation.”
According to Demirors, investors avoid risk due to the uncertainty surrounding the post-merger environment; as a result, cash in the industry has been invested via options rather than direct exposure, and with analysts and experts divided, it remains to be seen whether Ethereum can reach above $2,000.
Disclaimer: The content of this page should not be considered investment advice. Investment is speculative. When you invest, your capital is at risk.
