According to U.Today, Matthew Sigel, the Head of Digital Assets Research at VanEck, has made a bold prediction that the price of Ethereum (ETH) could reach $22,000 by 2030. This forecast aligns with a recent market rebound that saw Ethereum's price return to around $3,500.
Sigel's optimistic prediction was published in VanEck's ETH 2030 report. The report outlined a $154,000 bull case, a $22,000 base case, and a $340 bear case for Ethereum. During a Bankless interview, Sigel explained that for Ethereum to reach the $22,000 base case, it must secure a 70% market share of all layer-1 blockchains. Currently, Ethereum's market share stands at 58%, based on the fees paid by users in the past year. Sigel emphasized the importance of enhancing Ethereum's scaling roadmap to encourage more usage of its layer-2 solutions.
In response to questions about why VanEck revised Ethereum's base case forecast from $11,000 a year earlier, Sigel stated that the change was due to expectations of an acceleration in the current bull market following the U.S. presidential election in November. He also noted that VanEck is becoming increasingly bullish on Ethereum and the wider crypto ecosystem.
Sigel described Ethereum as a productive asset that allows anyone to open a storefront on its network at lower fees. He revealed that VanEck has increased its overall penetration rate for open-source databases, expecting 7% of the current topline of financial applications to come from these databases.
The report's significance was underscored by the recent approval of spot Exchange-Traded Funds (ETFs) by the U.S. SEC. Sigel suggested that there is a larger market for income-producing assets than for innate assets like Bitcoin (BTC). As a result, he believes that the Ethereum market could surpass the Bitcoin market within a decade.