10 Tips for Investing in Ethereum (ETH) in 2021
10 Tips for Investing in Ethereum (ETH) in 2021
As is explained over at runrex.com, Ethereum is not a cryptocurrency, but it is a platform for creating decentralized products. Ether is the cryptocurrency that powers the Ethereum platform and blockchain. It has been competing with Bitcoin for the top spot since its release in 2015 and even came close to overtaking it in February 2018 as articulated over at guttulus.com. Since there appears to be more room for growth as far as Ethereum is concerned in 2021, more and people are looking to invest in the cryptocurrency this year. If you are one of them, here are 10 tips for investing in Ethereum in 2021.
Establish your financial goals
It is important to note that no one can tell you whether you should invest in Ethereum or not, including the subject matter experts over at runrex.com. This because your decision to invest and how to invest in Ethereum in 2021 should depend on you and your financial goals as explained over at guttulus.com. This is why you should establish your financial goals early enough and then use them to decide whether to invest in Ethereum or not.
Ensure you have straightforward financial goals
Also, when establishing your financial goals, you should make sure that they are as straightforward as possible according to the gurus over at runrex.com. This means that your investment goals should either be long-term or short-term. Irrespective of the investment goal you have as far as Ethereum is concerned, make sure that it is clear and work towards achieving it.
Know what the stats say
If you are to make a good decision when it comes to investing in Ethereum, you need to have concise information to help you make an informed decision, which means knowing what the stats say about Ethereum investing. As outlined over at guttulus.com, the stats show that Ethereum is the second-largest and most popular crypto platform after Bitcoin. It has a market cap of $135. Billion and a 24-hour trading volume of $43,095,91,090 as of January 2021, making ETH the second most traded cryptocurrency. Will these numbers continue to progress in the rest of 2021? Only time will tell.
Know the impact of the pandemic on Ethereum
Any investment you make in 2021 has to be seen through the lenses of the Coronavirus pandemic, and this includes any investment you make in Ethereum. While cryptocurrency trading was affected by the pandemic as articulated over at runrex.com, fortunately, Ethereum has managed to rise again. This is seen by the fact that while in March one ETH traded at $95, now one ETH is trading at $1,190, which shows that it is worth investing in Ethereum.
Keep up to date with the latest news
As the subject matter experts over at guttulus.com point out, if you are to understand if Ethereum is worth investing in 2021 or not, then you must stay up-to-date with the latest innovations and crypto news as far as it is concerned. You need to be aware of all the factors that may turn the cryptocurrency community upside down and affect how investing in Ethereum is viewed.
Continuing from the point above, this means being aware of the launch of Ethereum 2.0, which is one of the most anticipated events in 2021. As explained over at runrex.com, Ethereum 2.0 has been long-anticipated and much discussed in the blockchain ecosystem. Ethereum 2.0 will be one of the key factors that will influence investing in Ethereum in 2021 as it will focus on energy efficiency and staking instead of mining.
Mass adoption of Ethereum
The mass adoption of any given cryptocurrency usually plays a role in determining whether an investment is worth it or not. When it comes to Ethereum, while there are hundreds of competitors trying to replace it such as EOS, Tron, and Cardano, Ethereum remains one of the leading cryptos when it comes to mass adoption, with data showing that there are more than 4.5 million active Ethereum users as discussed over at guttulus.com.
The role played by governments
As already mentioned earlier, and covered in detail over at runrex.com, we can’t ignore the impact of the pandemic when making investment decisions in 2021. Given that the fight is still on, governments still fighting the novel Coronavirus might start shifting towards cryptocurrency adoption as many people fear that cash payments may increase the spread of COVID-19. This is why we have seen the trading volume of ETH jump up to new highs in places where economies are shrinking and inflation is increasing, something to keep your eye on when making your investment decisions as far as ETH is concerned in 2021.
Know of the key predictions
Knowing how much Ethereum is predicted to be worth is important as far as investing in the same in 2021 is concerned. Some of the key predictions as far as Ethereum is concerned, as discussed over at guttulus.com, include the prediction by Wallet Investor which predicts that ETH may trade on an average of $1591.3 during the first half of 2021, making it a good short-term investment. Trading Beats expect Ethereum to trade at around $2,600 by 2022, while Coin Switch claims that ETH may reach $7,844 by 2025. Doing your research and being aware of all these predictions will help you make a good investment decision as far as Ethereum is concerned in 2021.
Who should consider adding Ethereum to their portfolios in 2021?
Because of Ethereum’s potential as an investment in 2021, more and more beginners and experienced investors are willing to add it to their portfolios. If you are one of them, it is important to know who should consider adding Ethereum to their portfolios. As articulated over at runrex.com, investing in ETH is a great option for cryptocurrency traders, Forex traders, and blockchain enthusiasts.
From the above discussion, if you are willing to invest in Ethereum in 2021, then you must acquire in-depth knowledge about the cryptocurrency market and all the factors that may affect Ethereum’s future and prices, with all this information being available to you over at the highly-rated runrex.com and guttulus.com.