Ethereum (ETH) is one of the most popular cryptocurrencies among traders these days. Its daily trading volume is around $15 billion. Such huge interest makes ETH the second-biggest cryptocurrency on the market. In February 2022, the market capitalization of Ethereum is around $300 billion.
But these numbers are not the only reason why ETH is such an attractive investment. The platform on which ETH is based plays a crucial role as well. What makes the Ethereum platform so influential, and why is the coin so popular? What price should we expect in the near future and when is the right time to buy ETH? Find out in our article.
Why Has Ethereum Become So Popular?
First of all, Ethereum is a platform based on blockchain technology. ETH is a coin run by the platform. Hence, ETH is a currency and a store of value at the same time. But Ethereum is an independent smart contract platform for many other coins besides ETH. These smart contracts enable peer-to-peer transactions, which are normally performed by third parties such as banks. That is why every transaction is faster and cheaper than in the traditional market. As Bill Noble, a chief technical analyst at Token Metrics, says, Ethereum can be described as a highway for a decentralized financial world.
Currently, there are more than 3,000 decentralized apps based on Ethereum. These innovative applications disrupt numerous business areas, including advertising, supply chain management, and finance. The world of art is also experiencing the advantages of the Ethereum network firsthand: most non-fungible tokens (NFTs) are created on it.
Consequently, Ethereum is becoming more popular and trustable every year. It increases the number of investors as well as the price of the coin.
3 Ways to Buy ETH
How do you even approach the purchase of ether? There are several quick and easy ways you can start investing in Ethereum. Here are the three most straightforward options.
Buy Ethereum With Bitcoin
The most anonymous way to buy ETH is by using another cryptocurrency — for example, BTC. It is the most popular trading pair and should be found on most exchange platforms. There are a lot of different platforms that seem similar, but you should look into the details. Check the registration process, terms and conditions, security measures, range of trading pairs, and so on.
- Go to the platform’s website.
- On the main page, select the trading pair: BTC to ETH.
- Input the address of your ETH wallet.
- Complete verification if needed.
- Agree to the exchange rate and receive ETH.
Some exchange platforms do not require you to create an account. Others ask not only to register but also to verify the account by providing ID. If you already have a wallet with BTC, then you can use a non-custodial exchange platform that does not require data confirmation.
Buy Ethereum With PayPal
Since 2020, PayPal allows its clients to buy and hold cryptocurrencies using an e-wallet. You can buy ETH directly from the official app or via the eToro brokerage. Both options are easy to use and they can be a great decision for beginners. Buying ETH with PayPal looks like this:
- Open your PayPal account.
- By using the dashboard, click on “Finances” and select “Crypto.”
- Select “Ethereum” and tap “Buy.”
- After verification, you will receive ETH.
Keep in mind that PayPal has a strict anti-money laundering (AML) policy and Know Your Customer (KYC) verification requirements.
Buy Ethereum With Fiat
Additionally, you can buy Ethereum with a credit card or bank transfer directly. This option is mostly for novice traders who do not have any crypto assets and need fiat to deb into the world of digital currencies.
All you have to do is provide the information of your debit or credit card issued by Visa, MasterCard, or Maestro. You can even use a prepaid card or the number of your bank account. Here are the main steps of this process:
- Open the main page of the exchange platform.
- Choose ETH as the desired asset.
- Select “Bank payment” as the payment option.
- Input your card or bank account number.
- Provide your wallet address (if you are using a separate wallet).
- Agree to the rates and receive ETH.
When buying Ethereum with fiat money, you can use a built-in wallet on the platform you are using or provide your own.
What Should We Expect From Ethereum Price in 2022?
At the very beginning of 2022, the whole cryptocurrency market had a short period of depreciation. Since then, it has been slowly recovering. At the beginning of February 2022, ETH already costs more than $2,800 per coin. But what are the price predictions for the near future?
Following the analysis of one of Bloomberg’s senior commodity strategists Mike McGlone, during 2022, the price of ether is likely to reach $5,000 per coin. Some experts along with Vitalik Buterin (co-founder of Ethereum) expect ETH to reach $15,000 per coin in December 2022.
Furthermore, Ethereum is about to transit to a faster and upgraded platform ETH 2.0. It will result in much faster transactions and higher liquidity.
To Conclude
Investing in Ethereum is an attractive opportunity for both newcomers and experienced investors. Due to the popularity of the project, the ETH community continues to grow every year. Consequently, many exchange platforms allow to buy, sell, store, or trade ether. You can do it by using traditional currencies, other cryptocurrencies, and even PayPal. The creators of the coin continue to upgrade the network, which increases the price. Considering such fast growth of ETH and convenient conditions for the purchase, it is worth joining the Ethereum community.
