Ethereum could gain 115% in the long run - Sofi12z█ Fundamental Analysis
What is Ethereum?
To fully understand Ethereum, what it does and how it can potentially impact the society of which we are a part, it is essential to learn what its core features are and how they differ from standard approaches.
In the first instance, Ethereum is a decentralized system, which means that it is not controlled by a governing entity. The absolute majority of online services, organizations and businesses are based on a centralized system of governance. This approach has been used for hundreds of years, and even though history has consistently shown it to be flawed, its application is still elementary once the pieces don't trust each other.
A centralized approach means control by a single entity, but it also means a single point of failure, making applications and online servers that use this system drastically vulnerable to hacker attacks and even power outages. In addition, most social networks and other online hosts require users to provide at least some level of personal information, which is then stored on their servers. From there, it could be easily stolen by our company, its dishonest workers or hackers.
Ethereum, being a decentralized system, is fully self-sufficient and is not controlled by anyone at all. It has no central point of failure, because it is running on the computers of a huge number of volunteers internationally, which means it can never go offline. In addition, users' personal information remains on their own computers, in which content, such as applications, videos, etc., is kept in the full control of its creators without having to obey the rules imposed by hosting services such as the App Store and YouTube.
Second, it is essential to understand that, even when compared to each other over and over again, Ethereum and Bitcoin are 2 entirely different projects with entirely different purposes. Bitcoin is the first cryptocurrency and money transfer system, built and supported by a distributed public ledger technology called Blockchain.
Ethereum took the technology behind Bitcoin and substantially expanded its capabilities. It is a complete network, with its own Internet browser, coding language and payment system. Most importantly, it enables users to build decentralized applications on the Ethereum Blockchain.
These applications have the potential to be either completely new ideas or decentralized reworkings of existing concepts. This essentially removes the middleman and all costs associated with third party collaboration. As an example, the unique benefit of users "liking" and "sharing" their favorite musicians' posts on Facebook is created from an ad placed on their page and goes directly to Facebook. In an Ethereum version of such a social network, both artists and audiences would receive awards for positive communication and support. Similarly, in a decentralized version of Kickstarter, you will not only receive a device for your contribution to the company, but you will receive a section of the future benefits of the company. In the end, applications based on Ethereum will eliminate all kinds of payments to third parties to fascinate any type of service.
In short, Ethereum is a Blockchain-based, open source, public distributed software platform that enables developers to produce and run decentralized applications.
As mentioned before, Ethereum is a decentralized system, which means that it uses a peer-to-peer approach. All relationships take place between the users who participate in it, without the intervention of a control authority.
The entire Ethereum system is supported by a universal system of so-called "nodes". Nodes are volunteers who download the entire Ethereum blockchain to their desktops and fully carry out each of the system's agreed rules, keeping the network honest and receiving rewards in return.
Those rules of agreement, as well as various other points in the network, are dictated by "capable contracts." These were made to automatically do transactions and other specific activities on the network with parts that you do not exactly trust. The terms that the two pieces have to carry out remain preprogrammed in the contract. Completion of such terms triggers a transaction or any other specific action. Quite a few people believe that capable contracts are the future and that, with the age, they will replace all other contractual agreements, because the use of capable contracts gives greater stability than classical contract law, lowers transaction costs associated with engagement and institutes trust between the 2 pieces.
In addition, the system further grants its users the Ethereum Virtual Machine ( EVM ), which essentially serves as a runtime scope for Ethereum-based capable contracts. It gives users the stability of making unreliable code while ensuring that programs don't interfere with each other. The EVM is completely isolated from the main Ethereum network, which makes it a perfect tool for testing and improving capable contracts.
The platform also grants a cryptocurrency token called "Ether".
Who designed Ethereum
At the end of 2013, Vitalik Buterin explained his initiative in a white paper, which he sent to some of his friends, who simultaneously sent him further afield. As a consequence, some 30 people contacted Vitalik to discuss the term. He was expecting criticism and people pointing out critical errors in the term, however it never happened.
The plan has been publicly announced in the first month of 2014, with the core fixtures made up of Vitalik Buterin, Mihai Alisie, Anthony Di Iorio, Charles Hoskinson, Joe Lubin and Gavin Wood. Buterin also introduced Ethereum onstage at a Bitcoin conference in Miami, and a few months later the props made the decision to wholesale Ether, the network's native token, to finance development.
█ Is it a cryptocurrency?
By definition, Ethereum is a software platform that is intended to act as a decentralized internet as well as a decentralized app store. A system like this requires a currency to pay for the computational resources required to run an application or program. This is where "Ether" comes into play.
Ether is a digital bearer asset and does not require a third party to process the payment. However, it not only works as a digital currency, but also acts as "fuel" for decentralized applications on the network. If a customer wants to change something in one of the Ethereum applications, he would have to pay a transaction fee for the network to process the change.
Transaction fees are automatically calculated based on the proportion of "gas" a share needs. The primary fuel ratio is calculated based on elemental computing power and drive time functionality.
Ethereum like Bitcoin?
Ethereum and Bitcoin have the possibility of being somewhat similar when it comes to the cryptocurrency aspect, however the truth is that they are 2 entirely different projects with entirely different purposes. While Bitcoin has established itself as a subjectively stable and most successful cryptocurrency to date, Ethereum is a multi-purpose platform with its digital currency Ether being only one element of its contract-capable applications.
Even once the cryptocurrency aspect is comparable, both projects seem to be quite different. For example, Bitcoin has a capacity of 21 million Bitcoins that could be generated, in which the potential supply of Ether could be basically infinite. Also, Bitcoin's average block subtraction era is 10 min, while Ethereum's average time is no more than 12 seconds, which means faster confirmations.
Another big difference is that today the success of Bitcoin mining needs large portions of computing power and electricity and is only viable if mining is applied on an industrial scale. However, Ethereum's proof-of-work algorithm encourages decentralized mining because of people.
Perhaps the most relevant difference between the two projects is that the internal code of Ethereum is Turing complete, which means that literally everything could be calculated constantly and once there is enough computing power and time to do it. Bitcoin does not possess this ability. Whereas a full Touring code grants Ethereum users fundamentally unlimited modes, its difficulty also means likely stability complications.
█ How does Ethereum work?
As previously stated, Ethereum is based on the Bitcoin protocol and its Blockchain design, however it is tuned for applications beyond money systems to be supported. The unique similarity of both Blockchains is that they store entire transaction histories of their respective networks, however the Ethereum Blockchain does much more than that. In addition to transaction history, each node on the Ethereum network is also required to download the most current status, or today's information, of each smart contract on the network, the balance of each client, and all smart contract code and where it is stored. .
In essence, the Ethereum Blockchain can be explained as a transaction-based state machine. Once we talk about computing, a state machine is defined as something capable of reading a sequence of inputs and transitioning to a new state based on those inputs. Once the transactions are executed, the machine goes into another state.
Each state of Ethereum is based on millions of transactions. These transactions are grouped together to form "blocks", with each and every block chained to its previous blocks. However, before the transaction manages to be added to the largest ledger, it needs to be validated, which goes through a process called mining.
Mining is a process in which a set of nodes apply their computing power to finish a "proof of work" challenge, which is essentially a mathematical puzzle. The more powerful your computer is, the faster you will be able to solve the puzzle. An answer to this puzzle is itself a proof of work, and ensures the validity of a block.
Various miners from all over the planet keep competing with each other in an attempt to produce and validate a block, because every time a miner tests a block, new Ether tokens are created and delivered to the miner. Miners are the backbone of the Ethereum network, as they not only verify and validate transactions and any other operations on the network, but also produce new network currency tokens.
Decentralized applications have the potential to completely change the interaction between organizations and their publics. There are currently several services that charge fees for simply providing a defense service and a platform for users to exchange goods and services. However, the Ethereum Blockchain can allow consumers to trace the principles of the product they remain buying, meanwhile the use of capable contracts can ensure a safe and speedy business for the two pieces without any intermediary.
Our Blockchain technology has the potential to revolutionize web-based services as well as industries with long-established contractual practices. Exemplifying, an insurance industry in the US. has well over $7 billion in life insurance money tied up, which has the potential to be fairly and transparently redistributed using Blockchain. Additionally, with the use of capable contracts, consumers have the ability to simply submit their insurance claim online and receive an instant automatic payment, assuming their claim met all required criteria.
In essence, the Ethereum blockchain is capable of bringing its core principles - trust, transparency, stability and efficiency - to any service, trade or industry.
Ethereum could also be used to generate Decentralized Autonomous Companies ("DAO"), which operate completely transparently and free of any mediation, without a single boss. DAOs are driven by programming code and a collection of capable contracts written on the Blockchain. It was designed to erase the need for one person or a set of individuals in complete, centralized control of an organization.
DAOs are owned by individuals who purchased tokens. However, the ratio of purchased tokens does not equate to activities and ownership. However, the tokens are contributions that give the population the right to vote.
Advantages of Ethereum
The Ethereum platform takes advantage of each of the characteristics of the Blockchain technology with which it works. It is completely immune to any third-party involvement, which means that each of the decentralized applications and DAOs deployed on the network do not have the possibility of being controlled by anyone.
Any Blockchain network is formed near an agreement start, which means that all nodes within the system require consensus on each change that is made in it. This rules out the modalities of fraud, corruption and causes the network to be tamper-proof.
The entire platform is decentralized, meaning there is no single viable point of failure. Therefore, each of the applications will constantly be online and will never be turned off. Furthermore, the decentralized nature and cryptographic stability mean that the Ethereum network is well protected against likely hacker attacks and fraudulent occupations.
Disadvantages of Ethereum
Despite the claim that capable contracts remain intended to make the network fail-safe, they are only likely to be as good as the individuals who write the code for them. There is always room for human error, and any bugs in the code could be exploited. If that happens, there is no direct way to stop a hacker attack or a bug exploit. The only viable way to do this might be to compromise and rewrite an underlying code. However, this goes entirely against the very essence of Blockchain, since it is implied to be an unchangeable and unchanging ledger.
The DAO, which is the name of a particular DAO launched on April 30, 2016, has been attacked and well over 3.6 million Ehter tokens were stolen. The attacker exploited a "recursive call bug" in the code, essentially draining the DAO's funds into a "child DAO", which had the same composition as the DAO. The loss of a significant portion of the DAO's funding has not been the sole effect of the attack, as it fundamentally undermined user confidence in the entire Ethereum network, with the cost of Ether falling from well over $20 to less than $20. of 13 dollars.
What applications were developed on Ethereum?
Ethereum has the potential to open up the world of decentralized applications even for people without any technical background. If this happens, it can become a revolutionary leap for Blockchain technology that will bring it closer to mass adoption. Currently, the network can be easily accessed through its native Mist browser, which provides a simple interface to use, as well as a digital wallet to store and trade with Ether. The most important thing is that users have the possibility to draft, govern and carry out capable contracts. Alternatively, the Ethereum network can be accessed via a MetaMask expansion for Google Chrome and Firefox.
The Ethereum platform has the potential to profoundly shake hundreds of industries that currently rely on centralized control, such as insurance, finance, real estate, and so on. Today, the platform is being used to produce decentralized applications for a wide range of services and industries. Below is a list of several of the more notable ones.
█ Technical Analysis
Basic Information:
• Current Price: $2,795.51
• % Change 1 hour: 0.44%
• % Change 24 hours: -1.57%
• % Change 7 days: -0.74%
• Minimum 7d: $2,728.59
• Maximum 7d: $2,972.50
• Difference Minimum / Maximum 7d: $243.91
• ATH: Historical High Price: $4,864.11
• ATH Date: 10-11-2021(174 days ago)
• ATH%: -42.54%
• 24 hour volume: $12.9B
• Market Capitalization: $337B
• Available Circulation: 120,635,664 ETH
• Total Circulation: 120,635,664 ETH
• Maximum / Total Circulation: -
• Ranking Capitalization: 2
• Currency Name: Ethereum
• Currency symbol: ETH
• LIQUIDITY ±2%: $849.50 M
• BIDS -2%: $422.19 M
• ASKS +2%: $427.31M
• Hashing Algorithm: Ethash
• Pools (Known): 73
• Pools Hashrate: 1.04 PH/s
• Network Hashrate: 965.44 TH/s
Concepts:
The price of Ethereum has decreased by 1.26% in the last 7 days. The price has decreased by 1.39% in the last 24 hours. In the last hour, the price has increased by 0.36%. The current price is $2,790.49 per ETH. Ethereum is 42.95% below the all-time high of $4,891.70, current circulating supply is 120,635,663.749ETH plus Ethereum was mentioned in 330,594 out of 1,952,185 posts on Twitter and Reddit on May 02, 2022 195122 people are talking about Ethereum and this topic ranks 2nd in most mentions of this asset and activity in collected posts.
Currently, the volatility of Etherum is at a value below the maximum in 2021. However, it is still considered a great risk because it is still quite high despite the fact that it decreased.
Supports:
5D: 2,600 to 2,425 USDT.
3D: 2425 TO 2159 USDT.
1W: 1985 AT 1817 USDT.
Resistors:
3D: 3525.18 USDT
1W: 3922.87 USDT
5D: 4512.14 USDT
Terms:
T + Number = This means target + the number that would be an enumeration in the graph, I mention it so that you can understand without any problem.
Target + Number - Zone1, Zone2 = These are zones in which the price can have an impulse.
Conclusions
The volatility is at a reasonable point, I would seek to buy in the 3D support range, in the best case, to carry out DCA until the weekly support in which I doubt that the price will obtain lower values, looking in the long term to obtain 115% in the asset in a pessimistic. It should be added that the whales are already accumulating Etherum and Bitcoin.
All the indicators come to indicate oversold, but I prefer to use technical analysis concepts combined with the fundamentals to make decisions in my spot giving higher priority to volume information than to moving averages or oscillators.
If you liked the analysis, leave your like and leave any questions in the comments, I will answer as soon as I can.
