What is Ethereum and Should I Buy It in 2023?

What is Ethereum and Should I Buy It in 2023?

Ethereum (ETH) is one of the most traded digital assets throughout all crypto exchanges, with the second largest market cap and price, following the market leader – BTC. However, the Ethereum price has lived through challenging times during the overall market downtrend in 2022-2023. In February 2023, the most requested crypto pair ETH USDT was valued at $1,651. The highest Ethereum value was fixed in November 2021 – $4724.

In this article, we will discover Ethereum and whether it is worth buying in 2023. In essence, Ethereum serves as a supercomputer. It makes it possible for computer programs to run “smart contracts” without requiring third-party intervention to validate any transaction. Furthermore, blockchain technology keeps smart contracts secure and immutable, making them easily traceable too. It has opened up the door for new revolutionary ideas, such as digital ownership or computer programming, which are being implemented with Ethereum’s help today. Does this make investing in Ethereum a good idea? Let’s find it out.

Why Invest in Ethereum?

Here are some facts in favor of buying ETH:

  • Ethereum is the leading platform for NFT. With Ethereum NFTs creating an expansive ecosystem at its core, OpenSea experienced a valuation of $13 billion during its most recent funding round.
  • Ethereum switched to the Proof-of-Stake mechanism, opening a lot more earning options for ETH holders and easing the way of coin production, which will likely affect the further growth of the platform.
  • Ethereum is the giant in terms of decentralized applications (dApps), boasting an impressive 3000 dApp ecosystem. Ethereum has a wide array of use cases, from finance protocols to gaming platforms, social media networks, and various marketplaces for non-fungible tokens.
  • The Ethereum price prediction for 2023 ranges between $48 and $57.

Before purchasing cryptocurrency, it’s critical to contemplate several decisive elements to make an informed decision. Thoroughly examine the technology and use cases of the crypto you are considering investing in, as well as its market trends and potential risks. Calculate your investment objectives, including whether it will be for long or short-term investment and how much risk is acceptable for you. Select a reputable exchange or wallet that enforces strong security protocols so that your money is guarded against any harm. Moreover, consider diversifying your portfolio by buying multiple cryptocurrencies or other asset classes with varying volatility levels. Stay up-to-date with the regulatory environment of cryptocurrencies in your country, as it could significantly affect your investments.