Three reasons why Ethereum could touch over 50% of the world’s financial transactions
- Investment officer at Pantera Capital believes that over 50% of the world’s financial transactions could touch Ethereum.
- Ethereum ranks in the top three positions of institutional investors like Pantera Capital.
- Analysts have predicted that Ethereum price is in the oversold area since March 2020.
Analysts are bullish on Ethereum price and predict that the altcoin could break past resistance to climb up to $3,500. Institutions believe that over half of the world’s financial transactions could touch Ethereum within the next decade.
Institutional investors long on Ethereum make bullish prediction
Pantera Capital, a US-based cryptocurrency hedge fund, is bullish on Ethereum. In an interview, Joey Krug, the co-chief investment officer of Pantera, told Bloomberg that the firm is long on Ethereum.
Krug notes that the explosion in DeFi and Web3, competing with Ethereum and capturing the altcoin’s market share, has threatened the second-largest cryptocurrency’s dominance. Krug was quoted as saying:
If you roll the clock forward 10 to 20 years, a very sizable percent, maybe even north of 50%, of the world’s financial transactions in some way, shape or form will touch Ethereum.
The native currency of the smart contract network is one of Pantera Capital’s top three positions. Pantera’s crypto-focused fund manages over $5.8 billion in assets.
@Phoenix_Ash3s, a pseudonymous crypto analyst and trader, evaluated the Ethereum price trend and predicted that the altcoin is in the oversold area for the first time since March 2020.
First time $ETH is in the oversold area on the D1 RSI since March 2020#Ethereum pic.twitter.com/DeTRqRANL2
— Phoenix (@Phoenix_Ash3s) January 9, 2022
@IamCryptoWolf, a crypto analyst, recently tweeted that Ethereum has found support at $3,000, and the altcoin’s price could hold at the subsequent retest. The analyst expects a relief bounce and the testing of resistance at $3,500.
$ETH has found some support at $3k, 78.6% fib and WMA50.
— Wolf (@IamCryptoWolf) January 9, 2022
Now let's if it holds at next retest.
If it does, we could see a relief bounce and test resistance @ 3.5k's. https://t.co/3kegPq472K pic.twitter.com/1LlSYsw1pZ
FXStreet analysts believe that the Ethereum price is primed to rebound to $3,600.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
