Live Ethereum Price Chart - (ETH) Price News, Analysis & History
Ethereum is an open-source multi-purpose platform that uses blockchain technology to facilitate smart contracts and secure cryptocurrency trading. It also allows developers to create and deploy decentralised applications (dApps). The platform provides its own cryptocurrency token called Ether.
Ethereum as a platform was first proposed by Vitalik Buterin in 2013. He along with other co-founders launched Ethereum on 30 July 2015. Ethereum was first added to the Kraken exchange for a price of $2.77 per coin and has seen a rapid rise in its price to the current trading value of $449 at the time of writing.
Key Ethereum Price Metrics
Ethereum (ETH) Price History
Ethereum has seen exponential growth in the last five years from its initial coin offering (ICO) of $2.77 to be one of the largest blockchain platforms, supporting more than 2,000 decentralised applications. The current market capitalisation of Ether is worth around 40 billion dollars as of the third quarter of 2020. Early investors in Ethereum, could see manifold returns provided they sell the coins when Ethereum is at its highest.
Ethereum has gone through its share of ups and downs. In 2017, Ethereum saw a growth of more than 13000% with the coin experiencing an all-time high at $1,400 at the beginning of 2018. Contributing to its tremendous early success was the ICO bubble positively impacting the crypto market. The majority of ICOs raised funds using ETH.
As several experts predicted, the ICO bubble did indeed burst, leading to a drastic fall in the price of ETH where it dropped to around $85. This arguably offered investors the opportunity of buying Ethereum at a lower price, as they believed that with the variety of use cases Ethereum offers, its value would rise again.
After the financial market crash due to the coronavirus epidemic, Ethereum is climbing up the price charts to its current value of around $449 at the time of writing. Financial experts predict that the fast-approaching Ethereum 2.0 upgrade would positively impact the value of ETH price over the coming months and years.
3 Key Instances for the Evolution of Ethereum Price
Attack on the DAO
One major incident that impacted the price of Ethereum was the attack on a decentralised application called DAO. DAO, also known as “Distributed Autonomous Organization” was an Ethereum based channel for funding other projects within the platform. The launch of DAO led to an increased visibility for Ethereum. However, on 17 June 2016, DAO was hacked, and around $60 million worth of Ether was stolen from the users. After the theft, Ether’s value dropped drastically from $20 to almost $11 within two days.
The Cryptocurrency Boom in 2017
The year 2017 witnessed a serious surge in the price of Ethereum. While Bitcoin led the trend and set the pace for the other crypto coins like Ether and Ripple, the news of the Byzantine network upgrade also had a positive impact on the price of Ethereum. Also, as the ICO the bubble continued to expand, Ethereum hit an all-time high of around $1,400 on 10th January 2018 which led to a 13000% increase in ETH within a year.
Countdown for Ethereum 2.0
Ethereum 2.0 also known as Eth2 or “Serenity”, is the long-awaited upgrade to the Ethereum network to enhance the scalability and security features of the platform. Ethereum 2.0 will be launched in multiple phases with phase 0 being planned for 2020. The news on the launch of Ethereum 2.0 has had a positive impact on the price of the coin with the price currently being at $449 at the time of writing. The Proof of Stake mechanism being introduced as part of Ethereum 2.0 will incentivise the investors to keep hold of their coins leading to a continued growth of the platform.
Key News for Ethereum’s Price
The price of Ethereum has increased by around 18% within a week at the time of writing. The buzz and anticipation around the launch of Ethereum 2.0 could be an important factor in this steady rise. The Ethereum 2.0 deposit contract was released on 6 November and will act as a bridge between the existing Proof of Work chain and the upcoming Proof of Stake blockchain. The Ethereum investors can now begin to deposit the 32 ETH coins that are needed to stake a block. Once the funds have been deposited for an amount equivalent to 524,888 ETH, the BEACON chain will take effect leading to the “genesis” event.
The recent uncertainty due to the US election results could also have had an impact on Ethereum. Ethereum has seen growth during this period, proceeding to climb steadily over the following days. This goes to prove that cryptocurrency can thrive in unpredictable and unfavourable market conditions.
Ethereum Price Technical Analysis: How to Identify Good Entry/Exit Points when Trading
If you are thinking of investing in Ethereum, it is important that you pick the correct entry and exit points. There are various technical analysis tools at your disposal which can be used to generate trading signals. Identifying trends and patterns on a chart and trying to map out the trendlines and the price interactions is a good analysis technique. There are detailed guides and resources available online on the various analysis tools and techniques you can use. Make sure you have invested enough time in acquiring the right knowledge before you start trading in Ethereum. Once you have done enough technical analysis, invest only if you have a good entry point available to you. Otherwise, choose to be patient and wait for the right time to enter the investment. Same goes for an exit strategy. For example, if Ethereum is on a positive trending line, you can choose to exit at a point where you will reap considerable benefits even if the price continues to increase post the sale.
Have a Clear Goal
Having a clear vision for the future should be an important aspect of your investment decision. What is the end goal? Do you have a profitability range in mind? Answers to such questions could help you in determining your exit point. It could avoid to a certain degree of panic-induced buying or selling of coins. Patience is key. If the entry point does not look lucrative right now, wait it out. Remain informed and choose the right moment which you think will be beneficial for your goals.
Make Use of Analysis Tools
As mentioned earlier, informed decisions using the right tools often means a higher probability for profit. The internet offers a broad range of cryptocurrency-based financial analysis tools which can be used for your benefit. Brokers and exchanges often provide live data of the current market performance of Ethereum. A key analysis tool that can be used is Candlesticks. They are visually effective charts that depict the price movements. Sometimes a downward price movement is indicated by a red candle while upward movement could be indicated by the colour green.
You can also use moving averages to predict price evaluations like the “moving average convergence divergence” technique (MACD). When the MACD is high, it means Ethereum is overvalued and if it is low then it is undervalued. You can also make use of indicators like Fibonacci and pivot points for defining your investment strategy.
Fundamental and Sentimental Analysis
Both fundamental and sentimental analysis are good techniques to help you with trading decisions. The cryptocurrency market is very susceptible to trending news and social media. Using data analysis and machine learning to map the price fluctuations of Ethereum based on the latest news could be an eventual game changer for investors.
Fundamental analysis uses key metrics associated with cryptocurrency to make investment decisions. Metrics like transaction count, on-chain metrics and transaction value can be used for better trading insights.
Frequently Asked Questions
As a cryptocurrency, there are several external factors that can influence the value of Ethereum. The rise and fall of other traditional markets or even public opinion can have an impact on price. A huge contributor to market sentiment is developments and upgrades to the network, such as the release of Ethereum 2.0 Serenity.
This is extremely unlikely. Ethereum is one of the oldest and most successful cryptocurrencies; surviving many events that have brought other contenders to the ground. Second, only to Bitcoin, Ethereum is set to be around for many years to come.
There is much speculation, not only among the Ethereum community but through the entire crypto sphere as to whether the upgrade will prove beneficial for the price of Ethereum in the long-term. As the network shifts toward a Proof of Stake model, many investors are buying up ETH in order to participate. This will likely have a positive impact on Ethereum’s value for the short to mid-term.