In the wake of a major update, an analyst predicts that the price of Ethereum will ‘surpass $3,000 by the end of August.’
Early next month, ETHEREUM is slated to receive a big code upgrade, with many analysts expecting that it will spark a purchasing frenzy, with values “surpassing $3,000 by the end of August.”
Ethereum is the second-largest cryptocurrency by market capitalization, and some crypto experts believe it has the potential to dethrone Bitcoin from first place. The Ethereum network’s transaction costs, on the other hand, are a significant impediment to the cryptocurrency’s widespread adoption. The Ethereum network’s average transaction fees topped $70 in May, making it unsuitable for daily retail use.
The Ethereum blockchain’s London hard fork update is anticipated to fix the issue of the cryptocurrency’s high transaction costs.
The August 4 update will also mark the beginning of the move from proof of work to proof of stake, a less energy-intensive consensus mechanism for confirming transactions.
“The London hard fork could signify a dramatic change in Ethereum’s reception and price,” Konstantin Anissimov, Executive Director at CEX.IO, told This website.
“The hard fork is supposed to reduce inflation in the cryptocurrency and pave the way for the release of Ethereum 2.0 in the future.
“In the run-up to the hard fork, I believe Ethereum will return to $2,300 $2,500 and surpass $3,000 in valuation by the end of August, assuming no dramatic government involvement in the form of cryptocurrency bans or hard-hitting rules and regulations.”
Because it is the gold standard for smart contracts and blockchain-based applications, Ethereum has attracted the attention of global financial institutions.
The value of Ethereum might rise if institutional investors interpret the London hard fork as a favorable sign for the cryptocurrency’s long-term future.
However, when asked about the possibility of increasing institutional investment in Ethereum, Giacomo Arcaro, an entrepreneur at Growth Hacker, noted that while this could be the case, “a lot can change between now and then, and all we can do is speculate.”
“It’s also possible that this transition has already been ‘priced in,’” he noted.
However, Adam Todd, the Founder and CEO of Blockster, disagrees, claiming that the London hard fork update will result in a transaction cost drop of “around 20 to 30 percent,” as “experts expect.”
That was added by Mr. Todd. “Brinkwire News in Condensed Form.”