Ethereum’s price: make your decisions in real time!
At the beginning of 2021, Ethereum’s share price reached a new all-time high of over $4,00. In fact, the price of ether, which is the asset present on the trading platforms, has been in a fundamental upward trend since its first quotations in 2016.
What is the price of Ethereum?
Like all cryptocurrencies, Ethereum’s value is determined by the price of its native coin, Ether, and how it changes over time. This change depends on the supply and demand at a given time on a cryptocurrency exchange. As for the price of Ether, it is given in terms of traditional currencies like the euro or US dollar. Here, we talk about the Ether/euro exchange rate.
How much is Ether worth in euros?
In early April 2022, one Ether was valued at almost €3,000; so you would need to pay a few thousand euros to buy a single coin at that time.
The value of Ether is not fixed; it is constantly changing. Furthermore, you should know that with Ether, its price varies from one trading platform to the next. Its value on Coinhouse is not necessarily the same as it would be on another cryptocurrency broker.
The exchange rate of ETH is important because you need to use traditional money to buy Ether, that is use euros to purchase Ether. It is the only way to invest in a cryptocurrency unless you have already bought other digital coins, in which case you could swap, for example, bitcoins for ether.
How can you find out the price of Ether?
As mentioned earlier, the value of Ethereum depends on the exchange rate of ETH. To get a more precise idea of the price of a coin, it is essential to track the price of Ether in real time. You can find this price at the top of this page. You can find out the following information there:
- the price of Ether in real time (green if trading higher for the day, red if trading lower);
- its percentage change and its corresponding change in euros;
- the price chart over a period of time;
- its daily high and low (in euros).
If you trade digital coins, you should keep a watchful eye on Ether and how it moves in price so you can react quicker.
What determines the price of Ether?
The price of an ETH coin depends on supply and demand.
Market forces determine the value of Ethereum
Ethereum uses a decentralised finance (DeFi) system that removes the need for a banking intermediary to be involved in the execution of transactions. In other words, Ethereum is independent of institutions that act on traditional currency markets or even on gold. Accordingly, its price is not affected by the decisions taken by central banks.
All this is to say that it is the market, and the market alone, that determines the price of ETH. When demand rises, the price of Ether goes up; when demand softens, the price decreases. These supply and demand are based on the number of coins bought or sold by investors.
Ethereum’s advantage is that it benefits from a very large community of traders. As a result, the distribution of ETH is widely dispersed, leading to a spreading of transactions over large portfolios. It is currently estimated that there are some 111 million ether coins in circulation.
The factors that influence the price of ETH
Although the price of Ether is determined by market forces, you still need to understand that the market itself can by influenced by any number of factors. Which are the most important?
- The reputation of Ethereum has a direct influence on demand.
- The growth of DeFi encourages investors to buy ETH.
- The launch of innovations like Ethereum 2.0 in 2020 (based on the proof-of-stake consensus model).
- Legal regulations applied to the use of digital currencies.
- The energy used to mine Ether.
- The price of other cryptocurrencies, such as Bitcoin.
- Tax rules on cryptocurrencies (different for every country).
- The image of cryptocurrencies in the media and the public’s perception.
- Use cases (what can be done with Ethereum).
How has Ether’s price changed since its creation
Perhaps you are wondering how has Ether’s price done over time. Here is a brief history of Ether’s price since its launch in 2015.
Ether’s price: the early years
- Ethereum started to gain traction among investors in 2016 with the launch of the decentralised autonomous organisation. Having stayed below €1 throughout 2015, the price of Ether made its first record in June 2016, hitting €17 before falling back to just above €5.
- In 2017, ETH started becoming available on trading platforms which kindled some enthusiasm: the price of Ether gradually climbed to reach €617 by the end of the year.
- The following year started with a huge upswing in Ether’s price, with a record of €1,103 in January. But this was short-lived and it entered a new downward trend, falling to €300 in April and then €120 by the end of 2018.
- In 2019, the price of ETH plateaued around €270 in the summer, then dropped to €118 in December.
Ethereum returns to strength: 2020-2022
Ethereum’s innovations in 2020 (decentralised finance and the launch of Ethereum 2.0), along with the situation caused by the coronavirus pandemic, marked the start of the rebound in the price of cryptocurrencies, after a rude drop in March. The price of ETH made a sustained rise until ending 2021 at €3,237. Since then, Ether’s price has been sliding back down to levels last seen in summer 2021.
What is in the future for Ether’s price? Ether’s performance cannot be predicted because of its extreme volatility, much like all other cryptocurrencies. For this reason beyond all others, you should invest with care and keep an eye on the real-time price of Ether .
The price of Ether explained by our experts
Every week we provide a technical analysis of the ether price. You will be able to find all the important areas to monitor to optimize your investments in cryptocurrencies.
Gas: essential for how Ethereum runs
The Ethereum blockchain is not just a secure and transparent way to record transactions, it also enables the use of smart contracts and decentralised apps which run on computational energy, otherwise known as gas. The gas consumed is paid in ether which can be traded on exchanges. It is important to note that the Ethereum network is not based on having a finite supply of ether, as in the case of Bitcoin which has a maximum number of 21 million coins. There is no theoretical limit to the number of ether coins that can be put into circulation.
Adjusting the gas to better use the Ethereum blockchain
For the Ethereum blockchain to operate smoothly, fees are levied on transactions, which are calculated according to the amount of gas needed to perform the transaction. You can, in fact, set a quantity of gas for the performance of an operation on Ethereum. The higher that quantity, the quicker the operation will be carried out because the miners (those using their computational power to run the network) will be incentivised by the higher transaction fee offered to handle the operation.
Smart contracts – a huge leap made by Ethereum
The entire potential of Ethereum can be seen in how it enables the use of smart contracts,. These contracts are computer programs that can receive or send funds, receive instructions and make a decision based on an algorithm.
The many benefits of smart contracts
Once a smart contract is developed on the blockchain, that contract is as secure as the blockchain and it becomes autonomous and available at all times without interruption. Any person can check how it works and use it for their own applications. Smart contracts are programs that execute exactly as originally designed by their creators. They were actually behind the entire ICO (Initial Coin Offering) frenzy in 2017 and the emergence of ERC-20 tokens.
Ethereum’s dazzling potential through decentralized applications
A new technology that redefines finance
Ethereum enables the creation of new applications that were impossible to develop with the Bitcoin blockchain. These decentralized applications have, especially since 2020, allowed the emergence of what is called Decentralized Finance (DeFi).
They allow people to take advantage of financial services without going through an intermediary or needing their authorization. Thus, services such as loans, liquidity provision, derivatives or insurance are developing at high speed. Anyone who owns ethers can interact with these services. Ethereum thus allows the emergence of advanced services that are also of increasing interest to the corporate world and traditional financial players.
Ethereum, a project that continues to meet many needs
The project has a very large and active community, with a historical figure in the ecosystem in the person of Vitalik Buterin. It is also the project with the most developments and evolutions planned for the coming months and years. Starting with Ethereum 2.0, which will change the blockchain’s validation algorithm from proof-of-work to the more eco-friendly proof-of-stake. All of this activity should lead to an appreciation in the value of the ETH token in the future. Ethereum is definitely a cryptocurrency with a lot of potential.
All about Ethereum
What is Ethereum?
Ethereum was founded in 2014 by Vitalik Buterin.
It is the second most capitalized cryptocurrency on the market, behind Bitcoin. On the face of it, Ethereum’s blockchain works on the same model as Bitcoin’s since it uses the open source principle and requires computing power from computers to validate transactions, which is called proof of work. The Ethereum network is also decentralized.
Ethereum allows for more than just monetary transactions
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