The second largest crypto by market cap, according to popular analyst Crypto Wolf. Ethereum It may be poised for a big rise this year. The analyst is of the opinion that the ETH price can reach $ 10,000. In addition, he stated that he could see $ 15,000 as a more optimistic target.
Here are three factors that could enable Ethereum to reach its estimated price of $10,000 in 2024, according to the analyst.
1. Technological Upgrades to the Ethereum Network
Ethereum’s transition to a Proof-of-Stake (PoS) model and the subsequent implementation of the Shanghai upgrade in early 2023 contributed to significant network infrastructure improvements. These upgrades provide Ethereum’s ever-growing competitive edge. cryptocurrency It helped to strengthen its position in the market.
Along with these, according to JPMorgan analysts, the upcoming EIP-4844 upgrade, Proto-Danksharding will help Ethereum outperform Bitcoin.
At the time of writing, ETH is trading just above $2,200, down from its recent high of $2,600.
2. ETH’s Market Dominance Over Other Chains
Although several competitive blockchain networks have emerged over the years, ETH continues to maintain its dominance in the market, according to a recent report by ETC Group.
Crypto According to the firm’s findings, developers continue to prefer Ethereum when launching decentralized applications, DeFi products and fungible token (NFT) collections.
Additionally, the massive dominance of Ethereum’s ERC-20 tokens in terms of total market cap over competitors such as Binance’s BRC-20 tokens is another indicator of the network’s market superiority.
As noted in the report, the value of ETH stablecoins containing Tether (USDT), USD Coin (USDC), or Dai (DAI) accounts for 51% of the current total stablecoin market cap.
This shows that the network will be at the center of blockchain development. This will keep its native token in demand and push the price of ETH towards $10,000.
Additionally, the growing excitement around Ethereum ETFs will further continue the upward trend in ETH price in 2024 once the market recovers.
3. Increased Corporate Interest
Koinfinans.com As we reported, institutional interest in ETH is growing, according to analysts, which could help the altcoin reach $10,000 in 2024.
The fact that the SEC, famous for crashing cryptocurrencies, does not see Ethereum as a security similar to Bitcoin attracts big names to Ethereum. Large financial institutions generally avoid tokens that could face the regulatory hammer. This danger does not exist for ETH, at least for now.
Moreover, the potential for major financial institutions such as BlackRock to launch ETH-related funds also underlines this growing interest.
The recent approval of the first spot Bitcoin ETF in the US by the SEC, led by Gary Gensler, has opened the doors for future approval of Ethereum ETFs.
Additionally, general expectations of a crypto bull run in 2024 could be the catalyst for ETH price to reach $10,000 this year.