The chief executive of Magnetic, the digital asset management company, Megan Kaspar, stated her previous belief that Ethereum will have a quotation in the $ 8000 - $ 10.000 range before December 31, 2021, just months after successfully predicting that the asset would hit $ 3000 when Ether was trading close to around $ 1.200 in January.
The upcoming Ethereum update drives the rise in demand
Speaking to Yahoo Finance, the cryptocurrency expert noted that Ethereum was already seeing a huge amount of demand from investors as they preferred to use cryptocurrencies as a preferred tool to hedge against inflation as the FED slowed the US dollar press.
He also applauded the recent developments around the Ethereum blockchain stating that they would play a huge role in pushing the price of Ether higher. According to Kaspar;
“We have two network upgrades one of which was already underway which substantially changed the mining fees on the network and then towards the end of the year and beginning of next year we will have around one million Ethereum coming out of the supply. This will make it a deflationary asset. This is why we are evaluating that the call from eight to ten prices is really a possibility ”.
An increase in the volume of NFT sales on the Ethereum blockchain was also a major catalyst towards asset price appreciation with over $ 900 million worth of NFTs sold in August alone, including the famous Aether Rocks that became a sale. hot, often retail in a base price of 100 million dollars.
In an earlier version, we reported how Ethereum outperformed Bitcoin, especially after London's Hard Fork, a fact Megan agreed, with some crypto assets breaking off their trends leaving Bitcoin lagging behind. . Last week, the CEO of deVere Group, Nigel Green, also confirmed this turnover by stating that he expected Ethereum's bitcoin outperformance to continue for the remainder of 2021.
Investors snub Bitcoin for smaller assets
Greater indulgence by wealthy institutions and investors on smaller projects, especially after hopes of approving a Bitcoin ETF before the end of the year continued to decline, was also another reason Megan believes the ETH price along with other traditional projects like Solana were ready to continue to support.
With larger investors joining the cryptocurrency and digital asset bandwagon, the industry is expected to experience a cascade effect as more people learn about existing opportunities by gaining exposure in other smaller businesses and chains that help to grow those ecosystems.
“If you look at Solana, Cardano, these ecosystems have all recorded returns above 2000% this year alone, which is higher than Bitcoin and Ethereum. I suspect we will see the periphery ”.
