Ethereum Crypto Analysis - 2024

Ethereum Crypto Analysis

In today’s blog, we will look at some of the price predictions on ETH made by notable figures. We will do full Ethereum crypto analysis. Wondering how 2024 will turn out for Ethereum? Standard Chartered seems to have some thoughts on the matter.

Ethereum Crypto Analysis for 2024 and Beyond

Prediction #1

Drawing from the previously approved spot Bitcoin ETFs on January 10, and that Ethereum, similarly to Bitcoin, has futures traded on the Chicago Mercantile Exchange, Standard Chartered expects a similar approval process for spot Ethereum ETFs. Standard Chartered’s head of Digital Assets Research, Geoff Kendrick, predicts Ethereum spot ETF applications to be approved by the SEC on May 23rd, the deadline for the ETF ruling. Kendrick expects ETH to climb up to $4,000 by May 23rd, 2024, following Bitcoin’s price action going into its ETF approval date. This prediction, however, hinges on market belief on approval being low, and that the SEC approves multiple applications at once, similar to the 10 spot Bitcoin ETFs in January 10. What’s interesting, however, is that Kendrick expects Ethereum to avoid the post-ETF approval dump as seen with Bitcoin. Bitcoin dropped as much as 20% after the ETF approval when billions of shares of the Grayscale Bitcoin Trust, or GBTC, were sold as investors went looking for funds with better fees, resulting in more than $3.3 billion in GBTC outflows. Because Grayscale’s Ethereum trust controls a smaller amount of ETH than its total market cap compared to GBTC, Kendrick believes this makes Ethereum more resilient than Bitcoin in the face of a post-ETF approval sell-off.

Prediction #2

VanEck released a report back in May 2023 with an ETH price prediction while detailing their methodology for their ETH valuations, which is based on cash flow projections on Ethereum’s revenue. The report introduces the concept of Ethereum as a ‘digital mall’, hosting ‘businesses’ made with smart contract code, where users interact through their crypto wallets. As Ethereum is not actually a business, ‘revenue’ is derived from transaction fees, specifically the base fee and tip fee that users pay for a plethora of actions on Ethereum. The report also looks into transaction fees that users pay when interacting with dApps spanning various sectors such as DeFi, Metaverse, Gaming, and Infrastructure. After estimating the revenue that Ethereum “makes” from the economic activity on its blockchain, cash flow projections are made to predict Ethereum’s revenue by the year 2030. After taking into account ETH’s tokenomics and fully diluted valuation, VanEck analysts were able to make 3 predictions on ETH’s price by the year 2030. The base case scenario is $11,848 per ETH by 2030, assuming Ethereum becomes the leading global settlement network hosting a good portion of commercial activity from business sectors that benefit from blockchain technology. The more optimistic, 2030 bull case scenario predicts a $51,000 ETH and conversely, the 2030 bear case calls for a $343 ETH.

Prediction #3

JP Morgan’s managing director, Nikolaos Panigirtzoglou, notes the upcoming Cancun upgrade as a major catalyst for Ethereum’s performance for 2024. The Cancun upgrade, which is scheduled in March 2024, implements proto-danksharding and increases Ethereum transaction throughput and reduces gas fees. JP Morgan’s analysts predict Ether to outperform Bitcoin in 2024 and reach $8,000 by 2026.

Prediction #4

In mid-December 2023, Hayes admitted on Twitter that he had received a word from “the Lord”, telling him to ditch his SOL bags, and profess his love for “Archangel Vitalik” by loading up on ETH, while calling for a $5,000 ETH. This is interesting because Hayes has previously tweeted about his bullish stance on Solana at the beginning of December. You would be right to think that $5,000 is too conservative of a price target coming from a figure like Arthur Hayes. In November 2023, Arthur Hayes tweeted that he received a message from “the ancestors” in Easter Island that the bull market starts in November 2023, and then calls for not only a $1 million Bitcoin but also ETH to hit $100K. Arthur Hayes, however, is not the only person in town giving out bold price predictions for crypto.

Prediction #5

Known for her bullish outlook on crypto, the CEO of ARK Invest, Cathie Wood, predicts that the entire crypto sector will experience dramatic growth over the next five to seven years, with its market cap going from $1 trillion to $25 trillion. It’s also worth mentioning that ARK’s ETF arm, 21Shares, which has previously filed for a spot Bitcoin ETF that has since been approved, has just amended their spot Ethereum ETF filing on February 7. As for Cathie Wood’s price target for ETH, she calls for a $166K ETH by 2032, with its market cap exceeding $20 trillion. For reference, Bitcoin’s current market cap is just north of $900 billion. Her reason for this bold projection is her belief that Ethereum plays a crucial role in revolutionizing the finance sector through its DeFi and NFT ecosystem. She also posits that Ethereum could outperform Bitcoin over the long run as she sees Ethereum as not just a digital currency, but also a platform for a decentralized future in finance. And that’s all for this blog! If you have enjoyed this blog which was on "Ethereum Crypto Analysis", please drop us a comment and save our website for more crypto content ! If you want more content on Ethereum crypto analysis, feel free to comment us.