By Kenny - Crypto Dealer - 03-11-2021
An analyst from Goldman Sachs has stated that the price to buy Ethereum (ETH) will likely rise to $8000 by 2022. According to the analyst, Ethereum is currently showing similar patterns as it did in 2019. The Global Market managing director of Goldman Sachs, Bernhard Rzymelka, had compared the Galaxy Crypto Index from Bloomberg to the USD 2-year forward rate with the 2-year inflation swap. The comparisons imply that inflation is the catalyst and motivation that has actually supported the growth of Ethereum and other altcoins.
Rzymelka had previously noted to clients that the latest events are indeed supporting Ethereum rather than hindering the token, as the director further talked about the asset's recent gains. To back Rzymelka's statement that ETH is doing well despite inflation breakeven, the price to buy ETH has risen past $4,400. However, Goldman Sachs has stated that the recent gains have also formed a narrow wedge in charts that could indicate tiredness or that the coin is peaking if it hasn't already peaked in its latest rally.
The company have explained further that the analysis doesn't show signs that this could be the beginning point of a boosted rally to reach even new and higher all-time highs. That being said, due to the crypto market investments patterns, there is a chance that Ethereum could well surge above $8000 in the last quarter of 2021. Although, Goldman Sachs asset experts have mentioned that Ethereum's Relative Strength Index (RSI) has not yet reached the overbought level even when market prices were high.