Bloomberg has released its September Crypto-outlook report and it is illustrated on the second-largest cryptocurrency Ethereum. Like the last report from August, some things remained. One of these includes the fact that Ethereum is primed to knock off Bitcoin in the long term.
Bloomberg is confident that Ethereum is poised to smash $5,000 in the near term
While Ether proponents are eyeing a price breakout to $4,000, Bloomberg sets its eyes on $5,000 as a price level that is highly attainable. Fueling the bullish trend for Ethereum is the diminishing supply, along with the fact that Ethereum is a primary denominator for NFTs whose popularity is directly influencing Ether’s prices, by tilting demand vs supply balance to bullish positions.
“Ethereum appears well-positioned for further price appreciation. To Sept. 2, the No. 2 crypto is at about a 10% discount from its peak and non-fungible tokens (NFTs) are increasing demand for what is becoming the money of the internet at the same time that incremental supply is dropping due to a recent upgrade.”
Ethereum will eventually knock out Bitcoin to take the front seat
Furthermore, Bloomberg has observed that the sentiments shared by analysts who believe that Ether has the potential to overthrow Bitcoin are accurately backed by data. Even after pointing this out in its previous report, Bloomberg strategists make it a point to reiterate the possibility of this.
“Ethereum outperforming Bitcoin has been typical in crypto bull markets, and we see probabilities tilted toward staying the course since the 2019 bottom. The No. 2 crypto can be added to the list of proxies for the No.1 to reach the $100,000 threshold, by simply following.”
Even more bullish is the fact that Ethereum is among the list of trending crypto-assets. This has been the case for a couple of years, and Bloomberg maintains that it could go on for much longer in the same manner that Amazon took over the e-commerce market.
“Increasing dollar dominance, Bitcoin, Ethereum, DeFi, and about 11,000 wannabes is the trend in crypto-assets. This is the progression of the past few years and makes sense based on patterns in revolutionary industries, as exemplified by e-commerce dominated by Amazon.com”.
Keep in mind that the bullish Ether reports do not in any way imply that the strategists are bearish on Bitcoin. In fact, Bloomberg analysts explainsthat regardless of Bitcoin’s struggle to maintain momentum above $50,000, Bitcoin bulls are still in control and the asset could still very easily claim $100,000 this year.