In her interview with Ed Ludlow & Sonali Basak from Bloomberg news, Kavita Gupta (Founder, Delta Blockchain) discussed how the Ethereum Blockchain and Ether have been in limelight since the US SEC approved the Ether ETF. In addressing the question from her interviewer on how she would describe Eth, considering that Bitcoin is known as digital Gold, she described Ethereum as the digital oil as it is fundamental to the ecosystem. Kavita Gupta’s optimism on Ethereum was evident throughout the conversation.
During a more recent interview with Bloomberg, Gupta shared her optimism with Ethereum, in her words “We are really close to seeing Bitcoin within $125k to $150k, but what I am excited about is ETH, and I want to see how much above 4.5 to 7k ETH is going to move, looking at the amount of ETH gas profitability”. Kavita Gupta’s optimism on Ethereum reflects more than just price speculation. She highlights Ethereum’s gas profitability as a key driver.
Gas fees, essentially the cost of transactions on the Ethereum network, have surged by 30%. This is tied to the rising demand for decentralized applications (dApps) and smart contracts. More activity means higher fees, and this directly impacts miners’ and validators’ earnings. As of today, November 29, 2024, Ethereum trades at $3,604. This is below the $4.5k-$7k range Gupta envisioned, but the market remains optimistic.
Bitcoin dominates the crypto space, holding over 54.41% of the total market cap. Earlier described as “digital gold,” Bitcoin’s public perception remains strong. It is viewed as a hedge against inflation and a store of value. Its price currently hovers near $98,000 with analysts predicting further bullish moves. Ethereum, on the other hand, is seen as the backbone of the ecosystem. Its utility extends far beyond a simple asset class.
Gupta’s optimism on Ethereum as reflected in her “digital oil” analogy emphasizes this—Ethereum powers DeFi, NFTs, and countless blockchain projects. The broader cryptocurrency market is mixed. Sentiment is cautiously optimistic. Bitcoin ETFs have drawn institutional money, but volatility persists. Regulatory clarity in the U.S. and Europe has improved, though uncertainties remain.
For Gupta, excitement around Ethereum isn’t just price speculation. It’s about utility. Ethereum’s transition to Proof-of-Stake has made it more scalable and eco-friendly. Combined with growing adoption of Layer 2 solutions, the network is set for expansion. Gupta sees these developments as critical for pushing Ethereum into her predicted range.
As the market evolves, the question remains: how far can Ethereum go as the demand for dApps and DeFi rises? For now, the digital oil continues to impact greatly to the blockchain revolution.
