Arthur Hayes, former CEO of crypto exchange Bitmex, believes the price of ethereum (ETH) may rise above the magical $10,000 mark this year. He does expect, however, that there will be a fairly turbulent period at first, especially halfway through the year.
Ethereum $10.000
According to Hayes the long-term potential of ethereum is enormous. While there is a fair amount of uncertainty at the moment and governments and central banks are coming up with all kinds of measures to improve the macroeconomic situation, Hayes believes that ethereum could rise exponentially once calm returns.
According to Hayes, we are currently nearing the bottom and an end to the constant downward price pressure is in sight. Especially when the US central bank, or Fed, calms down and comes with less severe measures, ethereum could rise.
Despite his hopes that the bottom has already been reached, Hayes said “a rapid rise” in prices may not happen in the near future. He noted that the broader market will remain unstable and volatile in the near term and emphasized that only an aggressive change of course by the Fed could lead to a substantial return of the market.
“A tumultuous price action will unravel the capital of short-term traders who half-heartedly believe this is the bottom. Therefore, politics and the macroeconomic picture must merge before the crypto market can march meaningfully higher.”
Bitcoin vs. Ethereum
Hayes Also Believes Ethereum Holds Better Hands Than bitcoin (BTC) to rise sharply this year. According to him, this has everything to do with the fact that the Ethereum network will soon switch from a… proof-of-work consensus model to a proof-of-stake consensus model.
In this way, the energy consumption of the network is many times lower. This in turn ensures that Ethereum will no longer be affected by measures taken by governments around the world to declare a ban on mining.
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