ETH Prize over $1000 in 2021 Expert sees Ethereum 2.0 as a catalyst for a rising price.
In addition, EIP-1559 could also spark a strong upward trend, as the network will receive a deflationary mechanism when implemented.
Ethereum’s price rose sharply after the announcement of the official start of the deposit contract on November 04 and stabilized along the $460 mark. Within the last 24 hours, ETH recorded a plus of 2.72 % to a price of $461.80. The market capitalization is $52.71 billion.
Seen as a catalyst for a soon rising ETH course with immediate launching is ETHEREUM 2.0. Beacon chain will start as planned by December 1, 2020 as 52,993 ETH of 524,288 has been deposited.
The Community shows up further optimistically that this starting date can be also held. However, in addition to these upcoming milestones, analyst Pentoshi also sees great potential in EIP-1559, which could catapult next year’s ETH Prize to over $1,000.
ETH Prize over $1,000 in 2021
EIP-1559 is a proposal to change the charging mechanism used to validate transactions on the Ethereum blockchain.
To encourage miners to validate transactions the current model includes paying fee as faster transaction is validated by higher fee.
EIP-1559 proposes to modify the model to implement a specific parameter for the prime rate calculated by the protocol.
Miners fee should come from each completed transaction, the other 50%, the so-called “space fee” should be burned.