2 Altcoins to Watch, Bitcoin and Ethereum Targets: Crypto Researcher

  • Jeffrey Kendrick sees Bitcoin and Ethereum hitting $100,000 and $10,000 this year, respectively.
  • The head of crypto research at Standard Chartered believes that Ethereum could one day reach $35,000.
  • Kendrick also discussed two alternative currencies that he believes are promising.

Jeffrey Kendrick, head of crypto research at Standard Chartered, the UK’s fifth-largest bank, said cryptocurrencies look remarkably similar to technology stocks in the late 1990s.

But that’s actually a good thing, Kendrick told Insider in a recent interview — even though he was well aware that the infamous tech bubble of 2000 eventually burst.

“I don’t use that because the technology exploded in the year 2000,” Kendrick told Insider. “But instead, the market size, and the sophistication of the market, were the same.”

Kendrick continued, “We didn’t really see the extreme price movement and engagement that we saw in technology at the time. So I’m thinking more about the number of users. And there are very direct transitions between the number of crypto asset users, addresses, and the number of Internet users in 1999. It actually builds up In terms of the share of the world’s population approx.

The never-ending crypto boom will be a welcome development for investors in the space after what has been a dismal year so far for digital assets. Bitcoin and Ethereum, the two largest coins by market cap, are down 18% and 23% year-to-date, respectively. But Kendrick is focused on a longer schedule.

“If we fast forward five or 10 years, there’s a very constructive background here,” Kendrick said. “And the use cases in things like ethereum, for example, have not yet been implemented at all. So my background is very positive.”

It’s very positive, in fact, that Kendrick’s goals for 2022 for Bitcoin and Ethereum are $100,000 and $10,000, respectively – which means 150% and 250% upside for those cryptocurrencies. Kendrick confirmed to Insider that in the long run, he still believes that Ethereum could rise more than tenfold to $35,000, the price target first reported by Reuters in September 2021.

“There have been a number of market commentators saying that, as in the previous bitcoin halving cycles, we are now entering the second halving of that, and in previous cycles — that was a bearish signal,” Kendrick said. “I don’t agree with that reasoning.”

How will bitcoin and ethereum reach the moon?

The head of cryptocurrency research at Standard Chartered is confident that Bitcoin and Ethereum “have very different drivers” than previous trading cycles, which is why he believes they will rebound this year.

Kendrick said that perhaps the most important catalyst for bitcoin and ethereum is the so-called smart money flowing into cryptocurrencies despite massive withdrawals since last November. He said that was not the case in late 2010.

“Institutional funds are coming in and they keep coming up despite the selloff, which is clearly, at its most aggressive, over 50% bitcoin and ethereum,” Kendrick said. “So, for me, he says, this time is different.”

The head of research said that Bitcoin could reach the limit of Kendrick’s price prediction if the token eventually becomes a globally recognized store of value representing about 2% of global assets. But first, Kendrick added, cryptocurrency should continue to help unbanked banks and grow into a “true peer-to-peer solution for transactions.”

Meanwhile, Kendrick said that Ethereum should benefit from an upcoming network upgrade that experts have dubbed “merging.” Kendrick said the event, which is set to reduce the number of new ether tokens entering circulation, is critical to the crypto market and could lead to a wave of new investment. After that, he said, Ethereum might take the token moniker.

“I suspect that this opens the door to a medium-term possibility to overtake Ethereum’s valuation of Bitcoin,” Kendrick said. “So, you have to get — so my year-end goals are $100,000 and $10,000, which is 10 to 1. You need to get to about 16% of the price, which I think is where we’re going in 2023. “

2 “Ethereum Killers” to watch

Besides Bitcoin and Ethereum, Kendrick said he has been keeping an eye on two cryptocurrencies in particular: dotted (DOT) and Avalanche (Afax). These two so-called Ethereum killers are still worth considering as an Ethereum merger approaches, Kendrick said, adding that investors may want to be “optimistic about something that doesn’t do exactly what Ethereum does.”

Kendrick said that Polkadot, a multi-chain protocol aimed at interconnecting different blockchains, is popular in part because it was founded by ethereum co-founder Gavin Wood. The head of crypto research said he is positive about the parachin where the Ethereum merger is taking place.

“Polkadot will probably stand out to me in terms of layers as a potential beneficiary in the medium term, given the kind of underlying use case of creating inter-chain links,” Kendrick said. “That probably, in terms of a top 10 or 20 in terms of layer size, would be my first choice.”

Avalanche received a cautious recommendation from Kendrick, as it is considered a direct competitor to ethereum. However, he acknowledged that the two tokens do not have to be mutually exclusive, as a crypto investor can own both.

“I’m actually more like an avalanche,” Kendrick said. “I think it could – in terms of it being something similar to ethereum – in fact, I think an avalanche could be good anyway. Let’s say after ethereum merges, it’s kind of like a mini version.”

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