Ethereum price has taken a turn for the better recently, breaking past the $2,500 price level and aiming for $2,700 in the short term. The king of altcoins remains bullish in the long term, aiming to return to its all-time highs and probably beyond. At the time of writing, the price of ETH is up 21% from yearly lows of $2,113.
Ethereum Price If Market Cap Hits $15 Trillion?
In a world where the Ethereum market cap has swollen to $15 trillion, decentralized finance (DeFi) has taken over most, if not all, of the global financial economy. Governments, corporations, and retail investors all use blockchain for everything.
By this time, Ethereum had evolved to its final version and was able to process hundreds of thousands, if not millions, of transactions per second (TPS). According to YCharts, Ethereum Supply is currently at 120.34M, up from 120.23M one year ago, a change of 0.10%.
The Ethereum market cap has grown by $69.965 billion in the same duration. A $15 trillion market cap would be 56X from the current market cap, and assuming that the rate of growth stays constant at approximately $70 billion per year, it would take Ethereum 210 years to reach this market cap.
Moreover, assuming that the ETH inflation rate remains the same, there would be 23.1 million extra ETH in circulation, bringing the price to about $104,573.
What Needs to Happen for Ethereum Market Cap to Hit $15 Trillion?
210 years is a long time to wait, but there are several factors that could shorten this time by a huge deal.
1. Mass Adoption
The calculations done above assume constant market cap growth and inflation. However, according to current market sentiment, Ethereum mass adoption may come sooner. The brew of factors cooking up to cause a global recession could shift financial markets to the blockchain sooner rather than later, a move that would fuel massive demand for Ethereum.
2. Institutional Investment
While retail traders are good for the community, institutional investors drive the price action. Financial institutions like $9 trillion BlackRock and $4.9 trillion Fidelity can move Ethereum price much higher, much faster than 100,000 retail investors can. Since July, nine hedge funds have moved over $6.7 billion worth of ETH, according to data from Soso Value.
The recent spot Ethereum ETF exposes traditional whale investors to the asset and can quickly cause the price of ETH to burgeon.
3. Interoperability
Currently, the blockchain world is still divided into silos, although much fewer than five years ago. The level of interoperability needed to trap $15 trillion in Ethereum has not been achieved yet. However, the rapid growth of blockchain technology promises this soon. In just a few years, blockchain has pushed the world forward 50 years technology-wise.
Based on these factors, an Ethereum market cap of $15 trillion could arrive as soon as 2034, just ten years from now.
Conclusion
Ethereum price prediction shows an investment of $10,000 in ETH could transform into $1.045 billion. But in the short term, Ethereum price is already rallying. Short-term investors can bag 10-70% before December 2024 as ETH price targets $5,000. As for a $1 billion profit, that would have to wait a bit longer.
Frequently Asked Questions (FAQs)
With the right conditions, such as mass adoption and increased institutional investment, it is possible for Ethereum market cap to reach $15 trillion as early as 2034.
In the short term, Ethereum is targeting a price of $3,500, with potential returns of 10-70% for investors before December 2024.
As of now, the circulating supply of Ethereum is approximately 120.34 million ETH, which has increased slightly over the past year.
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Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the video gaming industry. His extensive experience includes collaborating with various startups to deliver insightful and high-quality analyses that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across diverse sectors. Outside of his professional pursuits, he enjoys playing video games and exploring scenic waterfalls.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/what-would-ethereum-price-be-if-total-crypto-market-cap-hits-15-trillion/
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