How to Retire on Ethereum by 2025! And Beyond:

Ethereum Price Prediction — Ethereum News.

Are you planning on early retirement? Do you believe in the future of digital currencies, yet, not knowledgeable about the technology? Or what powers this digital money wield? Ever imagined what retirement would look like having a good sum of money in cryptocurrency? Then this article is best suited for you.

This piece is designed to be your tour guide on the number of Ethereum you need for this and how to grow that money in the longest term (in digital form). So, please grab a cup of coffee, sit back and enjoy the ride as we are going to be covering topics regarding the long-term sustainability of Ethereum across multiple price prediction techniques and the best location to retire to.

First off, this is not investment advice but a personal opinion that is only intended to provide education about the financial history and not to provide specific recommendations for any individual or a particular investment product or security. It is also important to note the risks involved in investing in cryptocurrencies. Hence, it is always necessary to conduct personal research before doing so.

Let’s dive in!

HOW TO RETIRE ON ETHEREUM BY 2025.

In this blog, our main topic of discussion would be based on the analytical exposition of Ethereum, its Price Prediction, and how to retire to the most expensive place in the world on Ethereum by 2025! Let’s say you want to retire to the Bahamas or the Ambergris Caye, Belize, or some exotic location. Well, I tell you what, I have got you covered, so this would be fun.

Before we dive right in, don’t forget to hit that follow button, and look on the lefhand-side of this page to drop off some claps.

Throughout the course of this journey, I would be referring to Ethereum; as a cryptocurrency and a blockchain network interchangeably. So, try to spot the difference, as I would always emphasize the difference: a: a change in context and if the need be.

Now the subject of cryptocurrencies has been on-trend in recent times — reasons are simply due to the growing needs for remote transactions — given the on-going pandemic season. No doubt!

In the same context, such subjects like Bitcoin & Ethereum have been the topics of greater concern within the crypto-sphere — throughout the year. And as the second-largest digital token out on the market — by market capitalization — most cryptocurrency experts consider Ethereum a better alternative to Bitcoin, therefore the best option if you plan on placing your lots on retirements in cryptocurrencies.

Unlike its predecessor — Bitcoin that proposes only a commercial value, Ethereum has intrinsic and industrial values, along with a far more complex architecture that allows third-party developers to tap into its decentralized ecosystem. It allows them to define bespoke smart contracts, create their own tokens, and re-create sub-platforms as an extension of existing ideas.

Proposed in 2013 by Vitalik Buterin, crowd-funded in 2014, the network went live officially and traded on the 30th of July 2015. Ethereum is a cryptocurrency alternative to Bitcoin, over half a decade old, and currently witnessed an increase in the TVL -Total Value Locked — up in DEFI protocols built upon the Ethereum Blockchain, from USD 4 billion to an excess of $18 billion in 2021.

What makes this subject even more interesting is amidst the high propensity of the occurrence of scalability issues and steep gas fees, the Ethereum network continues to thrive on — even as more strain is exerted on its blockchain, all thanks to the mainstream adoption of a decentralized finance ecosystem — generally known as DEFI.

However, unlike Bitcoin and other major currencies like Litecoin, Ethereum has been adopted by many start-ups and companies as a medium for transactions and much more. This is made possible by its underlying architecture, built upon a framework that automatically initiates a consensus agreement between two business partners.

First off, we are beginning with an area — most of you are already familiar with — called Ethereum dominance, a term essential to the actual validation model.

Now, let’s look at some charts and draw our analysis from there onwards.

Global Cryptocurrency Market Charts | CoinMarketCap.webm

CLICK TO VIEW CHART >>

Now if zoom in on this at the chart, and go as far back as December 2020 we could see that the market capitalization of Ethereum at the beginning of that month was an estimated 11.9 percent (approximately 19.3 percent of that of Bitcoin) of the total market capitalization of cryptocurrencies. And then, Bitcoin had a little bit of pump towards the end of December; through to the beginning of January 2021. Then a slight dip in Bitcoin, that kickstarted the bullish trend for Ethereum, and spanned the entire month of January to the very first week in February, and introduced the most recent pump at the price of Ethereum on 5th February 2021. Afterward, Ethereum maintained nearly 12 percent dominance of the overall market cap — an average of about 15 percent of Bitcoin’s market capitalization. Fast forward back to 9 weeks (approximately 2 months and 3 weeks) ago and back to the current date, that number has risen to 24 percent, and most recently, it dropped to about 20 percent.

Another very important aspect was the Bitcoin-to-Ethereum ratio, which has risen from .022 to .031 within the last couple of weeks. Looking at the patterns and ratios of Ethereum from November 2020 till date, and ratings on the market of late, you would see that Ethereum has been consistently overlooked; given its steep growth in juxtaposition to the amount of traction it attracts, in most recent times.

Now one of the things that have established Ethereum as a very bullish blockchain project is its powerful partnership network; and a vast army of developer community — which is quite normal given the background of its founding member and the circumstance behind its creation. Yet, another notable factor to bear in mind, is that the CBDC — Central Bank Digital Currencies, sought after a blockchain platform like Ethereum. So, imagine how big this could turn out; imagine you are a sovereign state, looking to launch your nation’s central bank digital currency, and you are told that you need a blockchain like Ethereum to power such an ecosystem.

So, if we look at the addition of the number of ETHs <<pronounced: eats>> per year, based on the supply growing by two new ETHS every 15 seconds, going out for ten years, the supply of Ethereum would grow from about 114 million in 2021 to about 131 million total supply by 2025.

Some predict that Ethereum could get to as high as 33 percent of Bitcoin’s total market cap come 2025. And given, the next and fourth Bitcoin halving is expected to take place in 2024, the price of Bitcoin is expected to skyrocket to a whopping $400,000, placing the price of Ethereum at $132,000 — which is equivalent to 33 percent of the price of Bitcoin at that time. More so, there could be ten ETHs to one Bitcoin ratio (10:1) — in the near future.

Now, let’s jump right into the main purpose of this presentation, which is: How to Retire on Ethereum come 2025, and the best locations for that. First of all, we are going to analyze such metrics as average salary, the cost-of-living index, and purchasing power across over 100 countries. And then I picked the top place that the viewers on this channel are most familiar with, and most importantly, I picked the top places that most people want to retire in the world. I went on ahead to put together a different price model, and how much is needed to retire in these places across these multiple pricing models.

So, for the first location, I have picked the Cayman Islands, for two reasons: one, it is the most expensive place in the world to live and two, Raoul Pal — CEO and Co-founder of Real Vision, lives there.

Taking into consideration the Ethereum dominance model, the temp center Bitcoin value, and the average of all three, and then I have got your monthly spend indexed by one percent per year of inflation: That’s the year 2025 to the year 2050. So, I also assumed that Ethereum would appreciate by three percent per year.

So, given that, you actually have an estimated amount that you can spend in a month. So, the cost just to live in the Cayman Islands per month, today, is about $7,322 — of course excluding tax because we assume people are retired and all.

Now the big question is: How much Ethereum do you need to generate $7,300 per month for the next 25 years, beginning in the year 2025 that would take you from 2025 all the way to 2049. Well, the answer is: 72 ETH — assuming the Ethereum dominance model of 33 % of the total market cap of cryptocurrencies. If you assume Ethereum would hit 10 percent of the Bitcoin value, you would need 30 ETH. Now, taking an average of these two, you need 51 ETH on average.

51 ETHS! That’s the estimated value of the amount of Ethereum you would need to retire to the most expensive place in the world.

From all indications, Ethereum is gaining more traction in the race to mass adoption, and given its extensive use-case, there is no telling how much increase could be garnered; by hodling the native currency of the most actively used blockchain on the market — on the long term; or as an assurance for your planned retirement. But one thing is for certain: The increase rate would be exponential over a five years span.

Are you planning on holding Ethereum for the longest? Well, my answer to you is Goodspeed! You go for it, curb the nib at the bud, and avoid FOMO… All I can say is, do your research before investing, — and this is a general rule of thumb, not specifically to Ethereum — to find a better entry point before buying in. And I assure you, the sky would be your platform, the moon your start point.

According to predictions by expert traders; like Brian Shuster — Founder of the Ark Capital, who asserted that Ethereum would be worth around $100,000 by 2025. Not to mention those from people like Raoul Pal who estimated that the price of Ethereum would go as high as $20,000 by the end of the year. But of course, that number depends on whether Ethereum 2.0 would live up to its value proposition: As an upgrade that introduces essential changes to such platform functionalities like the transaction speed, network scaling, security, and interoperability.

It is no doubt that cryptocurrencies are the money of the future, yet, the big question remains this: Are you going to fit into that small group of early adopters that would benefit from its inevitable bullish trend in the long run? or dwell in the world of those who preach of an impending cryptocurrency bubble? Only time tells.

Don’t forget to drop your questions or suggestions in the comment section below and have me respond to them in no time.

Once again, don’t forget to like follow and leave a few claps.


How to Retire on Ethereum by 2025! And Beyond: was originally published in DataDrivenInvestor on Medium, where people are continuing the conversation by highlighting and responding to this story.