This is why Ethereum is poised to surpass its high of $1,450
Venture investor explains: This is why Ethereum is poised to surpass its high of $1,450
Ethereum has moved higher after being flat in the $1,150-1,250 range last week.
Despite a local decline, the cryptocurrency is up 20 per cent in the last seven days, market data shows. The cryptocurrency Crypto Bull review set an all-time high, well, at least it did according to some investors.
Either way, one venture investor still expects significant growth due to positive on-chain trends.
On-chain trends signal potentially strong growth for Ethereum
Spencer Noon, on-chain analyst and investor at crypto-focused venture firm Variant, says there are a number of on-chain trends that suggest Ethereum „will surpass its all-time high.“
These on-chain trends include:
- Ethereum’s transaction fees are more than double those of Bitcoin, suggesting to some that it is one of the most useful, if not the most useful, crypto asset and blockchain network.
- The amount of value transferred on Ethereum via stablecoins, ETH itself and other tokens surpasses Bitcoin and is far above that of other blockchains. This is largely due to strength in the DeFi space and the rise of stablecoins, which are now worth over $20 billion on the Ethereum network, minus algorithmic stablecoins.
- Ethereum has an all-time high in daily active addresses, at around 550,000 (90-day moving average).
- There is now more than $25 billion of capital in the DeFi space, well above the $100 million that was locked up at the start of 2018.
- Decentralised exchanges are now processing more than $30 billion in volume per month – meaning they are starting to compete with centralised platforms.
Noon believes these factors suggest Ethereum (Go to Buy Ethereum Guide) is poised to surpass its previous all-time high.
Shortly before, Raoul Pal, co-founder of Real Vision and former head of hedge fund sales at Goldman Sachs, had said:
„By the way, ETH is up 60% in the first 14 days of the year. I think it’s outperformed all year, but I still own a lot more BTC but have invested in ETH. Next stop will be alts with higher risk…. but much much smaller. More risk = smaller size.“
By the way, ETH is up 60% in the first 14 days of the year. I think it outperforms all year but I still own much more BTC but have been adding to ETH. Next stop will be higher risk alts…. but much much smaller. More risk = smaller size.