Major altcoin Ethereum (ETH) is about to see a “trend reversal and rally strongly” up to $1,900 per token by the end of 2019, according to Fundstrat head of research Tom Lee, as Bloomberg reported September 27.
In a note to clients of Fundstrat Global Advisors, Lee noted the “overly negative” sentiment on the Ethereum market, which he says will be a basis for its strong rebound in the near future.
In his prediction, Lee has referenced the historical performance of Ethereum, citing that the times when the altcoin “underperformed peers by two standard deviations,” the price trend saw a subsequent reverse.
Lee concluded that Ethereum will reach $1,900 by the end of 2019 – a price point that is at least 40 percent higher than Ethereum’s all-time high of $1,349, recorded on January 13, 2018. The price of Ethereum is $230 at press time, meaning that the altcoin’s price will surge by 726 percent by the end of the year, according to Lee.
Ethereum all time price chart. Source: Cointelegraph Ethereum Price Index
In July, Lee reiterated his bull position in regard to major cryptocurrency Bitcoin (BTC), claiming that the cryptocurrency could trade between $22,000 and $25,000 by the end of the year. Most recently, the crypto analyst concluded that Bitcoin “could end the year explosively higher,” citing a correlation between BTC and emerging markets.
Launched on July 30, 2015, Ethereum is the second largest cryptocurrency by market capitalization at press time. Ethereum provides an open-sourced blockchain that features smart contracts and a basis for emerging blockchain-powered applications in a number of industries.
After surging to above $1,300 in early 2018, Ethereum has seen a massive decline, with the current price amounting to just around 17 percent of the all-time high. Ripple (XRP) has twice overtaken Ethereum in terms of market capitalization in September.