Ethereum (ETH) is significantly undervalued according to Bloomberg – price target 6,000 US dollars

The financial news agency Bloomberg points to considerable potential for Ethereum (ETH) in a study. With the upcoming Ethereum 2.0, ETH would have to be revalued with a price target of 6,000 US dollars.

Ethereum (ETH) as the undisputed second most important cryptocurrency in the world is still a good investment in the view of Bloomberg analysts of investors. In the crypto report 2022 of the financial news agency is proclaimed for Ethereum in the medium term as a price target of at least 6,000 U.S. dollars, currently ETH is quoted at just over 3,200 U.S. dollars. The focus of the optimistic forecast for ETH is the upcoming switch to Ethereum 2.0 and thus the protocol change to Proof-of-Stake (PoS). This has two important consequences for Ethereum, which Bloomberg emphasizes:

1. when – previously planned for early summer – “The Merge” technologically switches Ethereum from Proof-of-Work to Proof-of-Stake, ETH 2.0 will not yet be complete, but investors will have new opportunities to earn money. That’s because through staking, they can then put their Ethereum balances to work for them and earn automated money from transaction fees on the network. Around 13 billion US dollars in Ethereum transaction fees are to be taken into account in 2023 and would thus indirectly strengthen the value of ETH, writes Bloomberg.

2. with Ethereum 2.0, ETH will be fundamentally faster to transfer with lower fees for the individual transfer. This should make Ethereum more attractive as a means of payment in everyday life and also strengthen its use in the boom sectors of DeFi and NFTs. This must be considered for Ethereum in relation to the growing equity in the global crypto market, Bloomberg said.

From these two assumptions, the analysts arrive at a medium-term price target for Ethereum of around $5,500 under a pessimistic scenario, around $6,100 per ETH under the most likely scenario, and just over $9,300 under the best-case scenario. Ethereum’s previous all-time high is listed at almost 4,900 US dollars and dates back to November 2021. In mid-February, it became known that large investors such as Three Arrows Capital assessed price weaknesses in Ethereum around 3,000 UD dollars as a dip and increased their holdings in ETH.

Conclusion: crypto market is growing – and for Ethereum potential possibly underestimated

Bloomberg also takes a fundamentally positive view of the near future prospects for Bitcoin (BTC). The lead currency of the cryptocurrency market is becoming increasingly attractive for institutional investors and is also expected to become more accessible soon through real Bitcoin ETFs in the US. In Q4 2021, the approval of bitcoin futures ETFs by the U.S. Securities and Exchange Commission (SEC) had pushed it to its all-time high of just under $69,000 per bitcoin to date. In this environment, Ethereum is telling its own story and should also brush off accusations of being a “climate killer” with ETH 2.0.

Important remains: “The Merge” at Ethereum is supposed to take place this quarter after about one and a half years of preparation in the testnet, but an exact date has not been communicated yet. Bloomberg’s positive forecasts for ETH are based on the technologically demanding upgrade working smoothly and Bitcoin being able to defend and expand its strong function as “digital gold”. If all this comes together, however, the chances seem really good that Ethereum will start its own bull ride.


Best place to buy Bitcoin and Ethereum:

Be the first to comment

Leave a Reply

Your email address will not be published.


*