Ethereum just hit its 6-month low

Ethereum just hit its 6-month low - 2022 02 15 14.07.27Ethereum dropped to its lowest level in the past six months on Monday, but is still worth more than double the value it was a year ago. When it comes to buying and sell Bitcoin in Dubai in Ethereum or any other cryptocurrency, this kind of volatility is inevitable. After Bitcoin, Ethereum is the second largest cryptocurrency, accounting for around a quarter of the over 16.000 cryptocurrencies in existence. However, due to its vulnerability to large price movements, experts urge investors to approach cautiously. 

Before buying Ethereum or any other cryptocurrency, make sure you are aware of all the risks they can cause to your wallet. Experts urge to invest in crypto less than 5% of the entire overall portfolio and not to allow it not to let you build a solid emergency fund and pay off high-interest debts.

Ethereum was introduced in 2015

The Ethereum blockchain was introduced in 2015, two years after the Ethereum open-source document defined its structure. Ethereum was valued under $ 1 for the whole of 2015, but more significant than its price was the promise crypto investors saw in it.

The selling goal of Bitcoin Ethereum has always been to develop a blockchain where people could build decentralized apps, or DApps, in addition to cryptocurrencies. These DApps are similar to phone apps, except they were built on a blockchain and are accessible via crypto wallets. Then there is Ethereum. The platform made possible what we now call smart contracts, or programmable contracts that execute DApp transactions. Smart contracts are the most used when people buy or trade non-fungible tokens (NFTs) on the blockchain. 

2016 was a steady climb of Ethereum and later Plateau

Ethereum hits the $ 1 mark in the first week of January 2016. By February 2016, the price had more than quadrupled to nearly $ 2. This price continued to rise throughout the year, and in July 2016, Ethereum broke the $ 12 mark. Things began to stabilize, and after a few ups and downs, ETH ended 2016 at nearly $ 8.

Ethereum's first significant rise was in 2017

Ethereum's steady march became more volatile in 2017, and we started seeing jumps on the chart as the price eclipsed then dipped below all-time highs. The first significant increase comes between April and June, when ETH jumped from mid- $ 40 to over $ 362. It saw more ups and downs before hitting its second high price in December, this time at $ 826. The value of ETH at the end of 2017 was around $ 772.

2018 is considered a turning point in history

As of January 2018, As of January 2016, the price of ETH was 600 times better than the previous two years. The excitement, on the other hand, would have peaked and faded shortly after ETH stabilized a new all-time high of over $ 1.396 on January 12. After that, things quickly changed. The price of ETH falls during 2018, with the exception of a brief upward rebound to $ 816. It ends the year at around $ 141.

Ethereum peaks and troughs in 2019 and 2020

For the next two years, the price remains roughly stable, with ETH fluctuating between $ 150 and $ 730. While this variation still highlights the wildly unpredictable nature of cryptocurrencies, these peaks and troughs remained within a $ 600 margin and were very modest compared to what followed in 2021.

Ethereum is the most popular blockchain technology for minting, buying, and trading NFT especially selling Bitcoin in Dubai due to its smart contract capability, however rivals are now wallowing over Ethereum's excessive service charges and website blocking traffic. . 

Due to the high demand for NFT, the number of people buying ETH has skyrocketed. To buy an NFT, customers must first deposit their crypto wallets with ETH, with which they can then buy their chosen digital tokens. No wonder, therefore, that the price of ETH has skyrocketed by around $ 730 since late 2020 to $ 4,000 in May 2021, with another $ 4,800 price hike in November.

Nonetheless, since the beginning of 2022, the price of Ethereum has plummeted below $ 3,000. Bearish sentiments in the cryptocurrency market have begun to spread, and some think they can take control of the trend for now.

What cryptocurrency investors need to know about the price of Ethereum 

As with any volatile investment, financial advisors urge you to ignore the ups and downs and focus on long-term strategy, which may or may not include cryptocurrencies.  

While the demand for cryptocurrencies is increasing, the global number of new wallets has reached 45% in the last year, according to a recent survey by CoinDesk, Bitcoin, Ethereum, and all other altcoins are used by only a small portion of the public. general. Coinbase, a popular cryptocurrency exchange, currently has more than 73 million users worldwide, and Gemini has found that 21.2 million Americans now own cryptocurrencies of any kind. 

According to most financial advisors, a decent rule of thumb is to invest or sell BTC in Dubai a small portion of your crypto portfolio, just like you would any other alternative investment that exists outside the main stock market. In general, this means that you shouldn't invest more than 1% to 5% total value of your cryptocurrency portfolio.  

If the price of ETH drops 10% overnight, for example, an allocation of 1% of your portfolio won't deplete all of your savings and assets, at least not irreparably. According to Hudnett Reiss, one might not even notice a large dent.

“On the other hand, you could have a great return,” Hudnett Reiss explains. When the price of ETH turns positive and / or falls rapidly, as it has in the past, you will see a favorable return that will help you to inflate your wallet considerably. 

If you decide to invest in cryptocurrencies like Bitcoin and Ethereum they are the ones most used for newbies to get started: "These two are generally the most used," says Brittney Castro, Mint Certified Financial Advisor. “They are like the Apple and Google of cryptocurrencies,” she adds, referring to the fact that they were the first to enter the market and attract the attention of investors. 

Castro, on the other hand, says a word of caution: "We still have no idea what the future holds and what it means for the value of these various cryptocurrencies."

While the future of Ethereum and other cryptocurrencies is unknown, you can start preparing your money today so that you are ready to invest at your own risk. Prioritize your retirement fund, savings accounts, and high-interest debt repayment first, recognizing that even industry experts view investing in cryptocurrencies for the long term.