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If you invested $300 in Ethereum 5 years ago, here’s how much you’d have today
Ethereum (CRYPTO: ETH) prices have historically proven to be very volatile. It is not uncommon to see its value double or triple in the space of a few months. In other months, however, its price has been halved or worse.
But what about the long term? If you had invested $300 in Ethereum five years ago and held on, you would probably be very happy with the outcome.
How profitable has Ethereum been over the last five years?
If you invested $300 in Ethereum five years ago, you would have about $5,600 today. This is a return of 1,770%, even higher than Bitcointhat’s a 1,000% performance over the same period. THE S&P500for comparison, it increased in value by only 87%.
But before you jump in and buy Ethereum, there are some important caveats to keep in mind.
First, five years ago Ethereum was still a young and relatively unknown technology. Since then, the cryptocurrency industry has come a long way, achieving far greater utility, adoption, and recognition. It’s possible that Ethereum’s peak growth days are behind us.
Secondly, these eye-popping returns have only been accrued by investors with so-called diamond hands – this is crypto terminology for holding on despite extreme ups and downs. If you bought Ethereum five years ago only to sell it in early 2023, for example, you would only have a 640% gain. This is still an impressive result, but much less than what patient investors have earned. Conversely, if you had purchased Ethereum in early 2022 only to resell it a year later, you would have lost two-thirds of your original investment!
Ethereum has proven to be a formidable long-term investment, but its short-term movements are difficult to predict.
Should You Invest $1,000 in Ethereum Right Now?
Before you buy Ethereum stock, consider this:
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Consider when Nvidia you created this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you would have $544,015!*
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Ryan Vanzo has positions in Bitcoin and Ethereum. The Motley Fool has positions and recommends Bitcoin and Ethereum. The Motley Fool has a disclosure policy.
If you invested $300 in Ethereum 5 years ago, here’s how much you’d have today was originally published by The Motley Fool