Price Bitcoin failed to find a foothold above $50,000, fell back to $45,000 and then rose to $49,000 at press time. Copper cryptocurrency second largest by value, Ethereum (ETH), was superior to Bitcoin in the last year, has also struggled – falling back to $3,000 this week before returning to the $3,200 region.
While investors and traders are desperately looking for direction, the CEO of financial advisory firm deVere, Nigel Green, said: Ethereum will continue to go beyond Bitcoin this year and give a September price target for Cardano is 3 usd, an increase of 16% from its current price.
CEO deVere points to “three main drivers” driving the price of Cardano (ADA) higher, including a “broader crypto market rally,” a closely watched September upgrade that will provide smart contract functionality similar to Ethereum and Cardano's green energy validation certificate versus Bitcoin and similar energy-hungry cryptocurrencies.
Earlier this month, Green said he believes Ethereum, with its current capitalization of $381 billion, will eventually eclipse Bitcoin's market capitalization, currently at $921 billion.
Ethereum’s “higher real-world potential use” and “investor enthusiasm for the switch to ETH 2.0” is the cause for CEO expectations. The long-awaited Ethereum upgrade, with a design that makes it more scalable, sustainable, and secure for blockchain, was started late last year and is expected to be completed by 2022.
Meanwhile, Bitcoin and crypto market watchers are feeling bullish about the price BTC due to some recent positive developments.
“From the July low, when the price briefly dipped below $30,000, Bitcoin has rallied 72%, reaching a high at the beginning of the week. Therefore, a downside correction is needed to offset some near-term overheating,” said Alex Kuptsikevch, senior financial analyst at FxPro. He points to Bitcoin's hashpower recovery following China's latest crackdown and banking giant Citigroup targeting the launch of BTC futures trading on CME as the main driver of Bitcoin's momentum.
“A further drop to $42,000-44,000 is just the result of a normal market correction, but a deeper drop would bring a negative scenario.”