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Arthur Hayes, co-founder of cryptocurrency exchange BitMEX, predicts that ETH will reach a five-digit value in US dollars by the end of the year.
The former CEO of BitMEX has voiced confidence in Ethereum’s ability to surpass the $10,000 mark, which would represent a threefold increase over current pricing, citing a number of reasons for his belief.
“When the dust settles at the end of the year, I predict ETH will be trading in excess of $10,000,” he stated in an email.
The Long-Awaited Ethereum 2.0 Merge
Hayes, who wrote a piece two years ago predicting that Ethereum would become a 4-digit coin in terms of USD value, believes that the upcoming Merge’ will provide the biggest boost to the cryptocurrency’s price because it will completely transform the layer-one network into a Proof of Stake (PoS) validated blockchain.
In the opinion of the pundit who believes that Ethereum is a bond due to “native rewards issued to validators in the form of ETH-based issuance and network fees for staking ETH in validator nodes” believes that the Proof of Stake (PoS) network will attract a great deal of attention from Proof of Work (POW) critics, thereby leaving the Bitcoin network in the cold.
Although a considerable proportion of money managers would want to allocate to “crypto,” by which they mean Bitcoin and perhaps Ether, the Proof-of-Work consensus process is believed to be energy inefficient. The blog was being read.
As a result, according to Haynes, “everything will change when ETH becomes ESG-friendly,” opening the network up to hundreds of billions of dollars in investment from investors who can “finally securely invest.”
With the passage of time With the passage of time,he anticipates Ethereum will considerably outperform any L1 chain that has developed a narrative that it is “faster and cheaper” than Ethereum.
Ethereum’s Decentralized App Ecosystem
Furthermore, he feels that the rise of Ether is equally connected to the development of its DApps ecosystem. According to DefiLlama, the total value locked in Ethereum-based protocols is presently over $140 billion, making it the biggest DeFi ecosystem, which, according to Hayes, is also a screaming optimistic signal for the cryptocurrency market in general.
Contrary to the cryptocurrency Ethereum, which he claims is “a commodity that drives the world’s biggest decentralized computer,” Bitcoin is regarded only as a store of wealth, putting investors who want to put their money into growth networks up against a high garden wall.
Replacing Bitcoin With Ethereum And Solana
As a result of this, he states that he intends to dramatically reduce his Bitcoin holdings in order to acquire more Ethereum and Solana, believing that prices are on the verge of retesting or going past November highs.
At the beginning of 2022, his cryptocurrency portfolio consisted of 50 percent Bitcoin and 50 percent Ether, he stated. So his objective allocation is 25 percent Bitcoin and 75 percent Ether, according to the statement. and Solana to $200 – a return of about double. Would you be content if you were the owner of Solana? Without a doubt, sure.
