Ethereum is the hot cryptocurrency at the moment, jumping from strength to strength. In April last year, Ethereum cost investors around $190 (£136.55) per token. However, in the ensuing 12 months, it has jumped to more than $2,300 (£1,652.93) and growing.
Many people looking to make a quick buck on Ethereum have jumped on the bandwagon, and experts believe it is a sound investment.
In fact, some cryptocurrency experts are so sure of Ethereum’s potential that they claim there is “every chance” it could hit $10,000 (£7,186.65) this year – marking a more-than fourfold increase in its current value.
Paddy Osborn, Academic Dean at London Academy of Trading, told Express.co.uk: “The supply of Ethereum is not capped like Bitcoin or Litecoin, but it is seen as one of the more sophisticated cryptocurrencies and it’s currently very much in vogue.
“It has risen 1000 percent since last summer, but for me it has some of the best potential for further gains.
“Currently trading at $2,300, I feel there’s every chance that it can hit $10,000 this year – but it won’t be a straight line up, so beware the sharp short-term pull-backs.”
Mohit Tater, CEO of Black Book Investments, told Express.co.uk: “At the current price of $2,273, Ethereum has a long way to go before it can hit the 5-digit number.
“It’s risen about $171 over the past year. However, Coinpedia predicts that the ETH could reach $10,000 by 2022, and $50,000 by the end of 2025.
“Other sources have slightly more modest predictions: Wallet Investor’s forecast suggests that in five years, the price would’ve gone up to about $7,168.
“While sources vary on the specifics, one thing’s for sure: Ethereum is steadily climbing up and will rise by 50 percent at the very minimum by the end of the year.”
As with any investment, especially cryptocurrency, it is important to note that nothing is a certainty.
Money experts Ramsey Solutions said on its website: “Trading in cryptocurrency is like gambling.
“Because it’s exchanged peer to peer without any tie to regulatory standards, there’s no pattern to the rise and fall of its value.
“You can’t predict changes or calculate returns like you can with growth stock mutual funds.
“There just isn’t enough data, or enough credibility, to create a long-term investing plan based in cryptocurrency.”