It’s been a wild ride for Ethereum over the past few years.
After launching in 2015 with great fanfare, Ethereum quickly rose to become the second-largest cryptocurrency by market capitalization. But then came the ICO boom of 2017, and with it, a whole lot of speculative money poured into Ethereum.
The price of ETH spiked to an all-time high of over $1,400 in January 2018, but then the bubble popped and prices crashed back down to earth.
Since then, Ethereum has been on a slow and steady recovery path. The price is currently hovering around $200, which is still well below its all-time high.
But the question remains: will Ethereum ever regain its former glory? Or is it destined to remain in the shadow of Bitcoin?
Only time will tell, but there are some factors that suggest Ethereum could make a big comeback in the next few years.
First of all, Ethereum has emerged as the platform of choice for building decentralized applications (dapps). While there are other platforms out there (such as EOS and TRON), none of them have the same level of developer support or activity as Ethereum.
This is important because dapps are still in their early stages of development and adoption. As more dapps are built and launched on Ethereum, it is likely that more people will start using ETH to buy and sell dapp tokens.
This could lead to more demand for ETH and higher prices.
Secondly, Ethereum is also being used as a “building block” by a number of major companies. For example, Microsoft’s Azure cloud computing platform now offers Ethereum blockchain as a service.
This means that businesses can now easily build blockchain applications on top of Azure without having to set up their own infrastructure.
This is significant because it makes it much easier for businesses to get started with blockchain technology. As more businesses begin to use blockchain applications built on Ethereum, demand for ETH is likely to increase.
Finally, it’s worth noting that institutional investors are starting to show an interest in cryptocurrency again after staying on the sidelines for several years. For example, hedge fund manager Bill Miller recently said that he has 1% of his portfolio invested in Bitcoin (BTC) and 3% invested in Ethereum (ETH).
While this doesn’t mean that institutional money will start flowing into Ethereum tomorrow, it does suggest that there is growing interest from this important investor class. If institutions do start buying ETH in large quantities, it could lead to a significant increase in price.
Of course, predicting the future price of any asset is impossible with 100% accuracy. However, based on the factors mentioned above, it seems plausible that Ethereum could return to its all-time highs or even surpass them in the next few years.
So if you’re bullish on cryptocurrency in general, then you should definitely keep an eye on ETH.