Ethereum was like the second coming of Bitcoin, where you could build Dapps on the blockchain, but the transactions weren't fast (relative to the 3rd and 4th generation blockchains). However, Ethereum's mission is to replace internet third parties that store data, track financial instruments via smart contracts and eliminate the server / cloud model.
They had “first to market” statusa and it has Vitalik.
Vitaly Dmitriyevich "Vitalik" Buterin is a Russian-Canadian programmer and writer primarily known as a co-founder of Ethereum and as a co-founder of Bitcoin Magazine. But regardless of that Ethereum has going for it, there are limitations.
Ethereum 2.0 was expected to roll out by the beginning of 2020 to address scaling issues, issues with mining and some security issues through proof-of-stake solutions, Sharding, Plasma, etc. But due to delays, the release date got pushed back. Before Ethereum 2.0 can be released, the Beacon Chain, with will run parallel to Ethereum’s proof of work chain must be implemented. Then basic sharding must be implemented, then eWASM which will introduce smart contracts must be implement. So, as you can see, some leg work must be done before Ethereum 2.0 is introduced to the world. However, one firm thinks Ethereum is undervalued at current prices.
Glassnode -an on-chain research and analytics firm- recently noted that ETH’s MVRV ratio is currently below 1. An MVRV ratio is calculated by dividing the market value by the realized value and is used to examine an asset’s “fair value”. This is subsequently used to determine whether or not an asset is undervalued.
As per the firm, this ratio currently stands at 0.8, suggesting that ETH is currently undervalued in spite of the recent phenomenal recovery. Ethereum’s realized price is $202 but the coin was changing hands at $164 at the time the firm made the observation. ETH is trading at around $172.21 at the time of publication, meaning it is still undervalued.
Undervalued or not, price did hit the weekly demand a couple of weeks ago and suggests price can move as high as the daily demand at $360 as a good medium term target price.
This post is my personal opinion. I’m not a financial advisor, this isn't financial advice. Do your own research before making investment decisions.
Posted via Steemleo
