If you want to invest in the digital currency, you should pay attention to the asset price. You can learn more about Ethereum in the article "ETH/USD Chart".
Apart from that, it would be wise to analyze the prospects of ETH. This is the starting point for all investors when they make a decision to buy or sell tokens.
We tell you about the prospects of Ether in the short term, weeks, months, and years.
Nowadays, the number of ETH addresses has exceeded 70 million. It means that the token is popular all over the world.
Over the period of its existence, its quotes have changed many times. In 2015, the price dropped below $1. However, in 2021, the quotes soared to $4,800.
Over the past five years, Ethereum has climbed by about 5370%. What does it mean?
This cryptocurrency is a good choice both for long-term and short-term investments. Those who want to make quick profits may do that on daily fluctuations.
Unlike fiat money, cryptocurrencies are available only in the digital format.
For example, the US dollar remains strong mainly amid the rapid expansion of the American economy, the global influence of the country, and their military power. However, the cryptocurrency exchange rate is influenced by supply and demand. This is why crypto assets are highly volatile. In order to reap a profit on sharp price fluctuations, you need to have a reliable forecast. It gives an insight into market trends, enabling you to make profitable positions. Any forecast, including the exchange rate of cryptocurrencies, is based on analysis. You can make the analysis by yourself or use forecasts made by professional traders. In the first case, you need some experience and knowledge of the market and the main features of cryptocurrencies. For beginners, it may be a rather difficult task. The second option will suit everyone without exception. With its help, any investor can develop their own strategy. In a nutshell, there is technical and fundamental analysis. Their main purpose is to help traders identify factors that affected the price in the past to predict its changes in the future. As a result, there are certain patterns that may help traders determine possible trend reversals. The difference between technical and fundamental analysis is only in the amount of data studied and the time period. The first one is not so detailed and is used for short-term forecasts, the second one is deeper and is used for long-term investments.
So, with the help of analysis, economists and traders make short or long forecasts
Short-term outlook points to a possible change in the ETH price or any other cryptocurrency during the day or several days.
It is mainly used by traders who prefer to make quick profits amid sharp fluctuations in the exchange rate.
For example, today, Ether is trading at $2,750 and its predicted value for tomorrow is $2,830. Having invested $10,000 in ETH today, one could earn almost $10,300 by going short tomorrow.
The quotes change many times a day and the profit may be even bigger. The main thing is to open a position on time using the results of the analysis. A long-term forecast is made for weeks, months, and years. Analysts study various factors that have already affected the cost of Ether in the past and are highly likely to influence it later. There is also a classification of forecasts based on the prospects of digital assets. It helps investors understand which cryptocurrency will be in demand in the near future. Ether is in the rating of the most promising digital coins for both 2022 and 2023.
At the time of writing the article, Ethereum was trading at an average of $2,740. The trading volume for the last day totaled 15.3 billion.
Over the day, the ETH price gained 4.1% and over the last hour, it rose by 0.2%.
At the opening, its price is $2,680.
By the end of the day, the average ETH price may reach $2,780. The intraday high is located $ 2,810 and the intraday low is seen at $ 2,750.
Tomorrow, it is likely to enter the range of $2,760- $2,790
According to the forecast, ETH broke through the resistance level of $ 2,600 within the upward correction. It cemented further bullish bias for today and for the coming days.
After studying the most popular technical analysis tools, crypto experts advise buying ETH today.
Currently, the ETH price is above the moving averages, signaling a steady rise.
If we analyze the Bollinger Bands, we will see that the quotes are near the upper border of the indicator lines.
It means that the token is likely to grow higher. Only the intersection of the lower Bollinger band could undermine such a scenario.
However, currently, it looks unlikely.
Technical analysis helps investors make forecasts not only for the next day but also for the next week.
So, in the next week, there could hardly be any sharp price changes. Nevertheless, Ether is likely to rise slightly.
The ETH price is projected to climb to $2,810 by the end of the period. The weekly high is located at $2,950 and the low is seen at $2,610.
The average weekly price
|Date, March 2022
The forecast helps investors make their own trading plan. If you want to make money on price fluctuations, buy it when the price declines and sell it when it rises.
Last week, Ether grew by about 8%. Notably, at the start of 2022, even fans of this token were rather pessimistic about its prospects.
However, ETH has been gradually climbing for a while. In addition, it is likely to show moderate growth next week.
If so, there is a high chance for upward movement in the future.
At the same time, you should understand that in the crypto market, there is always a speculative factor that could affect digital coins. If a large number of traders or whales make a lot of long or short transactions, it will trigger sharp price changes.
Analysts believe that in the coming months, Ether will resume a steady uptrend. The correction that occurred after a surge in 2021 is coming to an end.
According to the most optimistic forecast, ETH/USD could exceed $6,210by the end of the year. The pessimistic forecast also suggests a moderate rise to $3,810.
In the table, you can see the estimated ETC price for a certain period.
ETH quotes in early 2022
What factors will impact Ethereum until the end of the year?
Demand plays a key role when it comes to the ETH price. Analysts predict a high demand among retail and large institutional investors.
Its rally will be facilitated by the Ethereum 2.0 upgrade, as well as other useful services of the Ethereum blockchain such as smart contracts and decentralized applications.
What is more, demand for Ether could rise thanks to DeFi and NFT that run on the Ethereum platform.
Key advantages of Ethereum 2.0:
What is going to happen in the coming years
Most analysts agree that Ether will remain a popular and profitable cryptocurrency following 2022 and forward. This belief is supported by several facts.
First, the crypto realm will continue expanding. As experience shows, the interest in this sphere is increasingly growing.
Second, ETH developers has already announced that the Ethereum 2.0 update is just a first step in the network upgrade.
Given that, Ether is expected to rise to $7,120 by the end of 2023. In five years, its price is seen at $9,720.
Projected ETH price in 2023-2028
|Average price, K $
Importantly, the longer term of a forecast, the less accurate it can be. In spring 2021, the ether quotes reached record highs. At that time, some experts predicted its further rise up to $15-20K.
The current outlook for 2022 is more modest.
That is why we cannot rule out that the post-2022 forecast will be revised influenced by any significant event.
However, most analysts agree that Ether will maintain its top position among other cryptocurrencies. They anticipate that the total crypto market capitalization will exceed $4 trillion in 2022. Mostly, it will be possible thanks to ETH performance.
Holding ETH is no longer just a mainstream trend. It is also profitable.
That is why the number of ETH supporters continuously increases. Even those who are not much into cryptocurrencies buy this coin.
Wondering where to buy Ether? Try IFXBIT, a safe and reliable crypto exchange for both beginners and experienced investors.
Read also: Review of annual ETH performance. How much is one ether in US dollars? Ether complexity chart