The CEO of crypto trading platform Abra, Bill Barhydt, shared his thoughts on why he is more bullish about Ethereum than Bitcoin in an interview with CNBC Friday. He also predicts that the price of ether (ETH) could reach $40,000, a significant increase from the cryptocurrency’s current price.
Barhydt explained, “Ethereum’s network effect is based on this idea that it could become the world’s computers. It’s being used for stablecoins, NFTs [non-fungible tokens], defi [decentralized finance] … and gaming now.”
The CEO expects that “with staking coming,” there will be “a massive influx of people trying to hold ethereum.” Comparing the network effects of Ethereum to Bitcoin, he opined:
The network effects for Ethereum in the short-term are actually more bullish to me because of the use cases that are just starting to play out.
He continued: “If the gas fees and the transaction fees come down, which is the promise of the proof-of-stake, look out, because now all of the impediments of those network effects are taken out of the way.”
However, the executive warned: “We may have a bit of a sell-the-news effect after the initial rush to stake happens with the upgrade in June or July — whenever it happens, the upgrade to proof-of-stake — so you may see kind of sell-the-news pullback.”
Nonetheless, Barhydt said without mentioning a specific time frame:
I think you are talking potentially $30,000 – $40,000 ethereum.
He opined: “It’s deflationary. The use cases are through the roof. It’s just all the stars are lining up for ethereum in my opinion right now.”
Meanwhile, a panel of fintech experts at Finder.com is less bullish than the Abra CEO. The panel previously predicted that ETH would reach $50,788 by 2030. That estimate has been lowered to $26,338. At the time of writing, ETH is trading at $2,518 based on data from Bitcoin.com Markets.