Bloomberg: the real Ethereum price should be at $6,000
Today the real Ethereum value should be $6,100, which is 80% higher than the average market price. Analysts attribute this estimate to the discounted cash flow model and the upcoming altcoin update.
As reported by Bloomberg Intelligence, an update called "Merge" will result in the network switching to the Proof-of-Stake algorithm, which does not involve miners. Ethereum's official website says the update is likely to be launched as early as the second quarter of 2022.
Thereafter, stakers will start to receive part of the transaction fees. This requires blocking a certain amount of ETHs on a special smart contract. According to analysts, it will allow the use of traditional financial ratios, such as P/E multiples.
If the number of commissions paid increases, stakers would get a higher income, and vice versa. Commissions in 2021 increased 16 times over 2020 and reached $9.8 billion. This is due to the growing popularity of the field of decentralized finance DeFi and non-fungible tokens (NFT), most of which run on the Ethereum blockchain.
Bloomberg report predicts that in 2022 commissions will grow by 30%, reaching $12.7 billion. Annual growth of 30% is predicted for three years. Analysts concluded that using three different discounted cash flow models, Ethereum could be worth $6.1k, $5.5k, and $9.3k, or $6.9k on average.
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