The recent surge in the price of the Xrp which is the native cryptocurrency of Ripple Lab Inc, has made it to overtake ethereum twice in market capitalization this month even though the rank was not long lived according to the information on Coinmarketcap.
Prior to this time, ethereum had always retained its position as the cryptocurrency with the second highest market capitalization after Bitcoin.
On Jan 13, 2018 ethereum was able to record the all time high value of $1,349 but its price has been reducing since then even though it tried to be bullish in the second quarter of the year. Its price at the time of writing is below $224.
Going by all this performance and its present value, many believe that ethereum is going through the dead route as it’s price has been experiencing high bearish movement majorly following price structure of Bitcoin.
However, the head of research at Fundstrat, Tom Lee believes that ethereum is about to see a ” trend reversal and to rally strongly.” This was made known in his note to clients of Fundstrat Global Advisors.
One of the reasons for his position is the over hyped sentiment against ethereum market will see it to rally back stronger in the near future. This is because he had looked into the history of the coin that was launched less than four years ago, and saw that at the times when ethereum, “underperformed peers by two standard deviations,” it’s price subsequently experienced a great reversal.
Even though Tom Lee believes that Bitcoin could end the year at a price between $22,000 and $25,000 from his July statement about bitcoin, he believes that ethereum will get to $1900 by the end of 2019 which is more than 700% of its present value and 40% its all time high.
Lee concluded that Ethereum will reach $1,900 by the end of 2019 — a price point that is at least 40 percent higher than Ethereum’s all-time high of $1,349, recorded on January 13, 2018. The price of Ethereum is $224 at press time, meaning that the altcoin’s price will surge by 726 percent by the end of the year, according to Lee.