Cryptomorphic expert and president of Novadax point out that the price of Ethereum could rise even higher than Bitcoin in 2021
Ethereum to ‚bomb‘ in 2021, highlights NovadaxNOTÍCIAS President
The rise in the price of Bitcoin that led the market’s leading cryptomeda to record an all-time high of close to $42,000 also helped boost other cryptomedas.
One of these was Ethereum, the market’s second leading cryptocracker, which saw its price jump from as low as $200 to over $1,000.
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However, like the BTC, the altcoins have also recently undergone a correction in their value which, in the case of the Ethereum, did not cause the cryptocracker to trade below $1,000.
This, according to cryptomaniac market analysts, is due to a new season and altcoins that would be driven by investors who would convert their profits from BTC’s bullishness into ‚riskier‘ assets with even greater earning potential, the ETH among them.
While Bitcoin appreciated more than 400% in 2020 compared to its value in Reais, Ethereum was even higher, exceeding 667% return.
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And according to the president of NovaDax, Beibei Liu, the expectation is that cryptomoeda will continue its appreciation, with some corrections along the way.
„It is very likely that ethereum will rise, like bitcoin. I like to use the metaphor that ethereum is like a decentralised ‚Android system‘. It is of course open source, and we have already seen that decentralised applications (DApps) and the protocols created in ethereum were the most used in 2020. And this will continue to grow. Relevant decentralized financial applications and projects (DeFi) must be kept on the radar,“ he said.
In the case of the short-term price movement of ethereum, Cointelegraph expert Rakesh Updhyay points out that there is an intense ‚fight‘ between bulls and bears over psychological support of US$1,000.
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„If the bulls are successful, the ETH/USD pair can go up to $1,100, where the bears can intervene again and sell on relief highs. If the price falls from that resistance, but the bulls don’t allow the price to fall below the 20-day MME, that can result in a consolidation for a few days,“ he said.
But if the bears have the advantage, the next stop is US$840.93 and if that support also breaks, the fall could extend to the 50-day SMA by US$712.
„The deeper the fall, the longer it will take for the bulls to begin a recovery,“ he said.