The Ethereum ecosystem is faring slightly better than bitcoin this week te terms of price. According to OnChainFX, ether tokens rose nine procent to toughly $1,101 on Wednesday morning. Ether prices grew Ten,298 procent since this time last year. Organizations such spil ConsenSys and the Enterprise Ethereum Alliance drove institutional engagement while the initial coin offerings fundraising trend created hundreds of fresh Ethereum-based tokens. CoinMarketCap estimates Ethereum’s global market cap now exceeds $107.Five billion.
Fresh regulations and hackers both had unexpected consequences for ether token prices te 2018. Photo: Digital Asset Research
Will the price of ether tokens proceed to rise te February? It’s unlikely to know for sure, of course. Regulators worldwide are cracking down on questionable ICOs, which could influence ether itself. “There is certainly request for Ethereum when there are ICOs being launched,” Matthew Gertler, senior analyst at Digital Asset Research, told International Business Times. “But wij don’t have numbers to quantify how much of thesis [ether tokens] went into ICO projects to know if that is indeed going to have any effect. Negative publicity is generally negative for the market.”
On the other mitt, Ethereum creator Vitalik Buterin has an ambitious roadmap for technical improvements this year. Plus, an academic investigate out of Cornell University argued there even more diverse Ethereum network knots than there are comparable bitcoin knots. The explore also asserted Ethereum’s ecosystem exhibited better variance when it comes to miners, making it lighter for petite miners to contribute. All things considered, the Ethereum community is diversifying rapidly. This could boost the network’s overall security.
Ethereum network transactions surpassed bitcoin’s volume for the very first time ter 2018. Photo: Digital Asset Research
Much like the bitcoin network, relatively high transaction fees and network congestion last daily usage. Some experts speculate that Ethereum futures contracts, an unprecedented investment product with relation to this cryptocurrency, could be ter the pipeline for 2018. If so, it could influence ether prices just spil hype surrounding bitcoin futures influenced the broader cryptocurrency market te late 2018.
“Bitcoin and Ethereum broadly trade te similar ways. One big difference, I would say, is you now have the bitcoin futures market,” Wall Street veteran and cryptocurrency investor Jill Carlson told IBT. “It’s always a question of the value of something versus the price of something. If you think the value is higher than the current price, that’s a fine thing to go te and buy. If you think the value is lower than the current price, then you might want to brief it. Personally, I’m not going to brief bitcoin anytime soon.”
Even if most experts predict the price of ether will rise this month, anything can toebijten te the world of cryptocurrency. Quartz reported hackers stole $400 million worth of ICO tokens so far, the majority of which were Ethereum-based. Many Ethereum wallets, such spil Parity, show up to have serious vulnerabilities. Regulation, lawsuits and costly cyber attacks could all lead to unpredictable oscillation.
“I just got back from the Bitcoin Miami conference and Ethereum is worth close to a $1,000. When I went to the same conference the year before it wasgoed $8 to $12,” Gertler said. “If anyone had said to mij at the time that the high would be a $1,000 or more, I would have thought that they were crazy. I’ve bot exceptionally astonished overheen the past year. So I don’t have a high price expectation [for ether]. Te terms of a low [price], I don’t have a bottom either.”
IBT fellow Daniel Robitzski contributed to this report.
Editor’s note: This is not investment advice or legal advice. Any following statements about ICO regulation are likewise not legal pronouncements or opinions regarding any specific project.