VanEck Analysts See Ethereum Price Reaching $22,000 by 2030 ⋆ ZyCrypto

Analysts at global investment firm VanEck said on June 5 that they had lifted up their Ethereum price prediction for 2030 will be as high as $22,000, up from just $11,800 last year. This would represent a huge jump from Ether’s current market price.

Ethereum’s unique value proposition

Asset manager VanEck, which has filed paperwork to list an Ethereum exchange-traded fund (ETF), predicts that ETH ETFs will be much larger than their Bitcoin counterparts due to Ether’s disruptive power and cash flow generated for token holders.

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While Ethereum brought in $3.4 billion in revenue over the past year, VanEck expects that figure to reach $51 billion by 2030.

“We believe ETH is a revolutionary asset with few parallels in the non-crypto financial world. ETH can be thought of as the “digital oil” because it is consumed by engaging in assets on Ethereum,” he said on Wednesday relationship written by Matthew Sigel, Patrick Bush and Denis Zinoviev. “The Ethereum network is likely to continue its rapid growth in market share relative to traditional financial market participants and, increasingly, Big Tech.”

VanEck described Ethereum as the heart of his financial ecosystem. Its network currently protects more than $90 billion in stablecoins, approximately $7 billion in tokenized assets, and $308 billion in digital assets.

“Compared to Web2 applications, Ethereum ($3.4 billion) generates more revenue than Etsy ($2.7 billion), Twitch ($2.6 billion), and Roblox ($2.7 billion). […] Ethereum is a vibrant economic platform that can be considered a “digital mall,” whose number of users has grown by approximately 1500% and revenue has increased at a CAGR of 161% since 2019,” the report adds.

Market capitalization of $2 trillion

VanEck also recognizes Ethereum’s potential to revolutionize the infrastructure, artificial intelligence, marketing, advertising, social and gaming industries.

“Should it do so while maintaining its dominance among smart contract platforms, we see a credible path to $66 billion in new cash flow for token holders supporting $2.2 trillion in assets or $22,000 per money, by 2030.”

$22,000 by 2030 would mark a 487% increase from the current price of $3,845.64. Notably, $22,000 is VanEck’s base case price estimate. The most optimistic and bearish price projections were $154,000 and $360, respectively.

Ether Spot ETF in the works

The forecast is also based on the expectation that spot ether ETFs will soon receive the green light for trading. These new products will increase Ethereum’s appeal among more conservative institutional investors, just as the recently launched BTC spot ETFs have attracted strong investor demand, accumulating a total net inflow of $15 billion since their launch.

“We expect spot ether ETFs to be close to approval for trading on US exchanges,” according to the report. “This development would allow financial advisors and institutional investors to hold this unique asset with the security of qualified custodians and benefit from the pricing and liquidity advantages characteristic of ETFs.”

After Liquidation of BTC ETFs in January, the U.S. Securities and Exchange Commission has failed to engage much with ether ETF applicants. However, the situation changed when the regulator nodded to forms 19b-4 related to ETFs. The SEC, however, must first approve the S-1 filings before investors can purchase spot ETH products.

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