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BTC $42150.19 (-4.1%)
ETH $2902.36 (-6.8%)
USDT $1.00 (0.00%)
BCH $508.03 (-6.1%)
BSV $135.48 (-6.5%)
LTC $148.70 (-7.3%)
BNB $350.70 (-6.4%)
ADA $2.24 (1.47%)
DOGE $0.20 (-6.0%)

4 Reasons Why Ethereum Could Hit $2K and Beyond This 2021

4 Reasons Why Ethereum Could Hit $2K and Beyond This 2021
  • Ethereum sets new ATH, pushing over $1,440.
  • There are at least 4 reasons as to how ETH could push past $2,000 and more this year.
  • Presently, ETH stands at a price value of $1,441.26.

According to our latest Ethereum price analysis, ETH could be heading for a greater all-time high (ATH) within the year. True enough, it recently surpassed its ATH of about $1,440.

ETH 1-hour chart
ETH 1-hour chart (source: TradingView)

As seen above the chart, ETH’s new ATH is about $1,475. With this new milestone, will Ethereum reach $2k this year? This article explores 4 reasons that could catapult ETH’s price right past the $2,000 mark and beyond.

Will Ethereum Reach $2k: 4 Possible Reasons

Firstly, a great push could come from the Chicago Mercantile Exchange (CME). It plans to launch Ethereum Futures on Feb 8th. This platform will allow investors to bet on the future prices of various digital assets without actually having to buy them.

Therefore, the anticipated arrival of Ethereum Futures could really change the present workings of the crypto market. It’ll bring greater liquidity and provides a chance to hedge spot positions.

Secondly, the creators and developers of Ethereum are working on a plan to reduce transaction fees on the blockchain. The new plan, EIP 1559, is an Ethereum Improvement Proposal aimed at fixing this issue.

EIP 1559, will implement Ether Burning. The plan is to replace the current fee determining system with a new one called ‘BASEFEE’. Ultimately, it’ll create a uniform fee structure across the blockchain and burn ETH when processing transfers.

Thirdly, the expected rollout of Ethereum 2.0’s Phase 1. The shift from Proof-of-Work (PoW) to Proof-of-Stake (PoS) will bring greater speed and scalability to the blockchain. We will see the launch of 64-shard chains sometime this year.

Finally, the final boost for ETH’s possible price hikes could come from the massive burst in DeFi adoption worldwide. With more and more users flocking to DeFi as a solution, there could really be no stopping ETH from reaching more impressive ATHs in the future.

At the time of writing, ETH price value stands at $1,441.26, according to CoinGecko.

Read Also: Ethereum (ETH) Price Analysis and Price Prediction 2021

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