The Bitcoin And Ether War. Standard Chartered Is More Optimistic About Ether

The Bitcoin And Ether War. Standard Chartered Is More Optimistic About Ether

Bitcoin has dominated the cryptocurrency market for a long time, but there is a sense of belief amongst some quarters that Ethereum would soon replace it as the leading crypto.

Standard Chartered Predicts Ether At $35,000

British banking giant Standard Chartered is very optimistic about the Ethereum network and believes its Ether coin would outperform Bitcoin in the long run. The banking giant published its first reports on the cryptocurrency market earlier today and revealed that it is more optimistic about Bitcoin than Ether.

Standard Chartered’s global research team led by Geoffrey Kendrick stated that Ethereum could be described as a financial market. On this market, various activities such as lending, insurance, and exchanges are carried out. The team further added that they view Bitcoin as more of a currency.

BTC/USD chart. Source: FXEMPIRE

Due to the broader use cases for the Ethereum blockchain compared to Bitcoin, the analysts believe that Ether’s total market cap will catch up to that of Bitcoin over time. The analysts put Bitcoin’s value between $50,000 and $175,000 over the long term. Ether, on the other hand, has a prediction of between $26,000 and $35,000. However, for Ether to reach that level, the team believes that Bitcoin would need to trade at $175,000 per coin.

Ether reaching the $35,000 mark would represent nearly 1000% increase in price from its current value. Meanwhile, BTC at $175,000 would only represent around a 350% increase from its current value.

If Ether were to reach the $35,000 price, its market cap would surpass that of Bitcoin, and it will become the leading cryptocurrency in terms of market capitalization.

Bitcoin And Ether Are Recovering From Recent Lows

Bitcoin and Ether are both recovering from the bearish performance experienced over the summer. Bitcoin dropped below the $30k region in July as the bears gained control of the market. However, BTC has now bounced back and is trading around the $52k region.

ETH/USD chart. Source: FXEMPIRE

Ether, on the other hand, dropped below the $2,000 resistance level. ETH’s price has seen gone up by over 80%, and it is now trading above the $3,700 level.

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This article was originally posted on FX Empire

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Standard Chartered Report Structurally Values Ethereum at ‘$26K to $35K’ – Bitcoin News

Standard Chartered Report Structurally Values Ethereum at ‘$26K to $35K’

A report published by the British bank Standard Chartered indicates the company’s analysts are bullish about the crypto asset ethereum. The bank’s analysts think that bitcoin could reach $175K and said “structurally, we ‘value’ ethereum at $26,000-$35,000.”

British Bank Publishes ‘Ethereum Investor Guide,’ Formulates the Economic Case for Ethereum’

The British multinational banking and financial services giant Standard Chartered has published a report on the two leading cryptocurrencies. In fact, the report is called the “Ethereum Investor Guide” and was written by Geoff Kendrick, Christopher Graham, and Melissa Chan. The report goes into various factors including “structural considerations” like what the “economic case is for Ethereum.”

The Standard Chartered research report notes that “ETH and BTC share many characteristics,” but the Ethereum blockchain has things like smart contracts, decentralized autonomous organizations (DAOs), decentralized finance (defi), non-fungible token (NFT) assets, and initial coin offerings (ICOs). Despite the myriad of applicable use cases Ethereum offers, the bank does say there could be a greater risk than it would be with bitcoin (BTC).

“While potential returns may be greater for ETH than for BTC, risks are also higher,” the three Standard Chartered researchers said.

Standard Chartered: Proof-of-Stake Shift Has ‘Obvious Environmental Advantages’

In addition to the NFTs, DAOs, defi, ICOs, and other applications, Standard Chartered’s report highlighted the upcoming Ethereum 2.0 transition. “The shift has obvious environmental advantages,” Standard Chartered’s researchers stressed. “As it removes the need for excessive computer power to be used in ‘mining.’ The switch from [proof-of-work (PoW)] to [proof-of-stake (PoS)] is expected to be gradually phased in during H1 2022,” Kendrick, Graham, and Chan said.

Standard Chartered also discussed subjects like “sharding,” “from EVM to eWASM,” and the overall supply of ether. It also notes that scaling Ethereum and the ETH 2.0 rollout is a difficult task. “ETH 2.0 is complex,” the writers insist. “[And] a comprehensive upgrade to an already complex platform. The complexity is compounded by the fact that both ETH 1.0 and ETH 2.0 are running in parallel for a protracted period,” the researchers state.

The Standard Chartered report also takes into consideration the “regulatory landscape,” and “competitive landscape.” It mentions blockchains that are competing with Ethereum in the world of defi, NFTs, and decentralized applications (dapps). “Separate ecosystems already exist and may continue to challenge Ethereum in niche areas,” the report emphasizes. Moreover, “regulatory concerns related to Ethereum will be very different to those than Bitcoin,” the bank’s report concludes.

What do you think about the Standard Chartered report about Ethereum and other competing networks? Let us know what you think about this subject in the comments section below.

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Standard Chartered Says Ethereum Could Hit $35,000

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Key Takeaways Ethereum’s macro outlook is bullish, according to banking giant Standard Chartered.

Analysts at the firm say Ethereum could hit $35,000 and surpass Bitcoin in market cap terms.

Despite the bold prediction, Ethereum has suffered a brutal dip in the market today.

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Standard Chartered analysts believe that Ethereum has more room to go up and could even surpass Bitcoin as the number one cryptocurrency by market cap. Still, the technicals show that ETH is primed to retrace before advancing further.

Standard Chartered Says Ethereum Is Undervalued

Standard Chartered has shared a bullish outlook for Ethereum.

The blockchain’s recent London hardfork has brought a lot of attention to ETH. With 224,700 ETH burned to date and another 7,500,000 tokens locked in ETH 2.0 deposit contracts, many analysts believe a massive supply shock is underway.

Standard Chartered is one of the latest financial institutions to jump the bullish case for Ethereum. In a recent report, the British banking giant said that Ethereum could be thought of as a “financial market” as it enables users to lend and earn interest on investments, among many other services. Such an immense utility could allow Ethereum to catch up with Bitcoin’s market capitalization, the report said.

The multinational banking and financial services company put a $26,000 to $35,000 price target on ETH once BTC crosses $175,000, representing a 1,000% increase from the current levels. A $35,000 ETH would give Ethereum a market cap of roughly $4 trillion, depending on the deflationary impact of its EIP-1559 update.

A Pullback Before Higher Highs

Despite the optimistic outlook, Ethereum does not look as bullish from a short-term perspective.

The Tom DeMark (TD) Sequential indicator recently presented a sell signal on Ethereum’s daily chart. The bearish formation developed as a green nine candlestick, indicative of a one to four daily candlesticks correction before the uptrend resumes.

If validated by a daily close below the $3,800 support level, ETH would likely dive towards the 61.8% or 50% Fibonacci retracement level. These critical demand barriers sit at $3,350 and $3,050 respectively.

ETH plummeted 15% to $3,350 earlier today as the market was shaken by volatility. Bitcoin also dipped over 10%, while many other lower cap assets shaved off 20% or more.

Only a daily candlestick close above the recent high of $4,030 can invalidate the bearish thesis. Under such unique circumstances, Ethereum would be signaling the resumption of the bull run towards the 127.2% Fibonacci retracement level at $5,115.

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