Nigel Green nailed his recent prediction that cardano would hit $3. The financial-services CEO told us why the hottest crypto’s streak isn’t over, and why ethereum will beat bitcoin for the rest of…

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Nigel Green is the founder and CEO of financial advisory firm deVere Group
Nigel Green is the founder and CEO of financial advisory firm deVere Group.

  • DeVere Group CEO Nigel Green correctly predicted in August that cardano would soon hit $3.
  • Green now says that white-hot crypto will resume its rally and reach $4 by year-end.
  • He told Insider about his approach to crypto and his outlook for ethereum, XRP, and bitcoin.
  • See more stories on Insider’s business page.

In August, Nigel Green, CEO of deVere Group, predicted that cardano‘s ADA token would climb to $3 in early September. That’s exactly what it did – according to Coinbase the altcoin peaked at $3.10 on September 2. Since then the price of cardano has fallen off from that high point, and on Monday it traded at $2.13, a gain of almost 2,300% over the last year.

Green says it won’t take long before cardano is setting fresh highs thanks to the broader crypto rally, a recent technological upgrade that will allow smart contracts to be built on its network, and its reputation as a “green” currency. He now says it will hit $4 by the end of the year, which would represent a 91% increase.

As far as crypto forecasts go, uber-bullish predictions like Green’s are not hard to find. But recent history shows that they’re worth paying attention to. After all, bitcoin’s torrid ascent to its record above $60,000 in April may have seemed impossible a year earlier when the crypto was trading near a mere $7,000.

Cardano staged an equally formidable rally, going from a little-known token to become the third-largest by market cap in August. It exemplifies the surge in altcoins that has happened this year, though some analysts, including JPMorgan’s top digital assets expert, warn that the rally is unsustainable.

In an interview conducted over email, Green told Insider that he pays a lot of attention to the usefulness of different crypto networks, in addition to tracking technical factors.

“Things you should be looking at are, the purpose of the cryptocurrency, how long it has been in the market, market capitalization and its underlying solutions,” he wrote. “Cryptocurrencies that solve problems are likely to succeed more than those that do not, the longer a cryptocurrency has been in the market the more trust it has attained and cryptocurrencies that are developed on strong networks will stand longer.”

Green says those same factors contribute to his bullishness on ether as well, predicting the second-largest crypto by market cap will continue to outperform bitcoin, the largest, for the rest of 2021.

“First, ether has a higher level of real-use potential as Ethereum, the platform on which it is the native cryptocurrency, is the most in-demand development platform for smart contracts,” he wrote. “Second, investor enthusiasm for the game-changing transition to ETH 2.0, which makes the Ethereum network considerably more scalable, sustainable and secure.”

While Green says he expects bitcoin to rally to $65,000 before the end of the year, which would represent a rise of about 50% from its current price, he thinks ethereum has a much brighter future – in fact, he believes that ethereum will trade at a higher price “probably within five years.”

In US dollars, bitcoin is currently worth about 14 times as much as ethereum.

In the shorter term, Green says there’s reason to think XRP could pull off a run similar the one cardano has recently made.

“According to most analysis, XRP could experience a breakout similar to that of cardano over the next few months,” Green wrote. One factor that could boost XRP’s price is the public listing of Ripple Labs, the company behind the cryptocurrency. Earlier this summer Ripple CEO Brad Garlinghouse noted that it’s highly likely that the company will go public “at some point.”

More broadly, Green writes that investors trying to understand where the crypto market is going should keep track of trends such as major payment processors enabling payments with cryptocurrencies, institutional investors putting money into the space, the availability of bitcoin ETFs, the NFT market, and influencers like Elon Musk.

But he’s not especially worried about increasing regulation of digital currencies, even though in the short term it could make them even more volatile or stop the current bull market completely.

“The calls by financial watchdogs and central banks for greater regulatory scrutiny must be championed as digital currencies, including bitcoin, are set to play an ever greater role in the international financial system,” he said, suggesting that regulation will give investors more confidence and pave the way for broader crypto adoption.