VanEck, an asset manager, recently unveiled its Ethereum (ETH) price forecast, projecting a potential surge in the cryptocurrency’s value to as high as $154,000 by 2030. The company’s analysis anticipates Ethereum to yield “free cash flows” totaling around $66 billion, representing an impressive 487% increase from current levels.
VanEck’s report specifically focuses on Ethereum’s performance in the stablecoin realm. Over the past year, the Ethereum blockchain facilitated the movement of a staggering $4 trillion in stablecoins, leading to additional transactions amounting to $5.5 trillion in such tokens. Presently, the market capitalization of stablecoins based on Ethereum surpasses $91 billion.
The report draws a parallel between Ethereum’s revenue generation and that of major Web2 platforms, emphasizing that Ethereum ($3.4 billion) outperforms the likes of Etsy ($2.7 billion), Twitch ($2.6 billion), and Roblox ($2.7 billion). Described as a bustling economic hub, Ethereum is likened to a “digital mall,” with user numbers soaring by approximately 1,500% and revenue experiencing a compound annual growth rate (CAGR) of 161% since 2019.
VanEck’s optimistic price outlook is further influenced by the recent approval of Ethereum-based exchange-traded funds (ETF) in the US. Additionally, the company delves into the potential impact of artificial intelligence (AI) on Ethereum, integrating the AI market into its updated valuation model. The Ethereum network’s infrastructure is deemed crucial to the burgeoning AI economy, offering unique features essential for the advancement of AI applications.
Beyond its financial capabilities, Ethereum is lauded for enabling entrepreneurs to create more engaging and profitable applications in its open-source and permissionless environment. VanEck predicts that 71% of Ethereum’s revenues will stem from financial enterprises by 2030, with sectors like AI also making significant contributions to its revenue stream.
As of the latest data, the price of ETH stands at US$3,848.21, showing a 1% increase in the past 24 hours.
Disclaimer: The opinions expressed in this article are solely for informational purposes and do not constitute financial or investment advice. Investing in cryptocurrencies carries a risk of financial loss.
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