Ethereum is trading just below $1,600 with a market cap of nearly $200 billion. It made an all-time high near the $4,800 price point, with its market cap crossing 0.5T. So, as Cathie Wood says that Ethereum will reach a $20T market cap by 2030, we have to understand that from current price levels, it is more than a 100x increase. It will put Ethereum’s price above the $150,000 level, which even BTC is finding difficult to cross.
Is Cathie too optimistic?
For a cryptocurrency that currently has a $200 billion market cap, $20 trillion seems really far away. But we will have two halving cycles before 2030, and a modest (based on previous bull runs) 10x price increase would put Ethereum up to that level. But the main question would be whether Ethereum will continue to rise forever. Or, there will come a price where it will be range-bound.
Ethereum’s move to the proof of stake consensus and its growing usage make me optimistic about the future of the coin. Many even predict that Ethereum has the potential to outrun Bitcoin in the long run. Now, if that happens, it will be wild, and Cathie’s prediction might come true after all. But my humble opinion is that fund owners or well-known investors in crypto always give predictions that look too good to be true.
Ethereum price action
In the last 3 weeks, Ethereum is already up nearly 60% from its bottom near the $1,000 price level. It went up to $1,784, but the price has consolidated since then, and we are at $1,600s now. The $1,800 price point seems to have some resistance as the price consolidated there for a while during the crash. After $1,800, the price level to watch out for is obviously $2,000.
If Ethereum is able to cross the $2,000-$2,200 range, we might be able to get back up to $3,000 pretty quickly with some resistance near $2,500-$2,600. Now the main question would be if Bitcoin is able to sustain at the current levels and continues to move up. If it does, Ethereum is expected to do much better. The Ethereum merge that’s nearing is also one of the reasons for all this optimism.
What are your thoughts as Cathie wood says Ethereum will reach a $20T market cap by 2030? And do you think it is too optimistic? Let us know in the comments below. And, if you found our content informative, do like and share with your friends.