Potential for Ethereum (ETH): Five reasons why it could be an exciting investment in July 2023

Potential for Ethereum (ETH): Five reasons why it could be an exciting investment in July 2023

Ethereum (ETH) could be an interesting investment in July 2023, for various reasons. The recently issued Ripple judgment caused a sensation in the crypto industry. The fact that XRP is not a securities according to the US Judicative also suggests that Ethereum as a decentralized asset is also not regarded as a securities. Other Proof-of-Stake (POS) cryptocurrencies such as polygon, Solana and Cardano were also the winners after the judgment. As a result, the Ethereum course development is no longer limited by the fear of classification as securities by the Sec.

In addition, the Ripple judgment could be a first step towards regulation, since other actors such as Coinbase are confident that the complaints of the SEC will not have any existence. This could lead to an increased demand for a crypto-friendly regulation. The SEC could have acted counterproductive in terms of the crypto industry.

The possible introduction of a Bitcoin Spot ETF by large asset managers such as Fidelity and Blackrock signals a growing institutional acceptance of cryptocurrencies. This also applies to Ethereum that is popular with institutional investors. Institutional investors prefer regulated and traditional investment instruments such as ETFs because they offer a simple and familiar way to invest in a certain asset. When Bitcoin receives a Spot ETF, the chances that Ethereum will also attract more capital through such an ETF. An Ethereum Spot ETF would make it easier to access ETH and increase the liquidity of the Ethereum market. The improvements of Ethereum 2.0, in particular the introduction of the proof-of-stake consensus mechanism, make ETH more attractive for institutional investors, as this leads to improved scalability and energy efficiency. An institutional acceptance of Ethereum would strengthen confidence in the platform and cause increased purchase pressure.

An increasing popularity of staking at Ethereum could reduce the freely tradable offer and thus have a bullish effect on the course. Staking blocks Ethereum tokens in the long term to secure the network and validate transactions. This reduces the available range of Ethereum. This can lead to a supply-and-tongue weight weight in which increased purchase pressure increases the prices faster. The number of clocks ether is even above the available offer on the crypto exchanges. The increasing staking ratio of currently 17.5 % could continue to make Ethereum attractive.

Deflation at Ethereum is also bullish for the course because it limits the offer. If the demand for Ethereum remains high or increases while the offer becomes scarcer, this leads to an increase in value for the cryptocurrency. Since the Merge, a total of almost 300,000 ETH have been removed from the stock. A total of 546,000 ether were released as a staking reaward, while 839,000 ETH were removed during burning. This shortage of the offer could favor an increase in value.

The chart image of Ethereum has improved in the course of the positive XRP judgment. Although the course has fallen by 5 % in the last 24 hours, Ethereum was able to write down in the plus and achieve a new multi -month high at $ 2030. The youngest reset has not significantly influenced the chart image. It would be advantageous if the bulls could pump the course over $ 2000 and control the $ 2075 mark. In the short term, the potential for continuation of the upward movement after a retest of the 1935 $

In addition to Ethereum, meme coins such as Pepe have also come into the focus of the investors. The Meme coin season could record speed again in the future and address new fun currencies. When investing in meme coins, however, the risks of this special market segment should be taken into account. The Wall Street Memes movement has already invested almost $ 15 million in the new meme coin, which is based on the Spirit of Wall Streetbets and Gamestop. There are over a million followers on social networks that support Wall Street Memes and are viewed as potential investors. A fair tokenomics ensures that 100 % of all tokens go to the community in the medium term.

Overall, Ethereum offers many exciting investment opportunities in July 2023. The Ripple judgment, the possible introduction of a Bitcoin Spot ETFs and the popularity of the staking could have a positive impact on the course. Deflation and the improved chart image are other factors that speak for Ethereum. However, investors should consider the risks of investments in cryptocurrencies and meme coins.