EOS Crypto Price Predictions 2020
What is EOS Crypto? What’s our EOS price predictions of 2020?
Before we get into our EOS price predictions 2020, we should give some background on what EOS is and what it plans to reveal in the future. If you already know this info, please skip the first part of our article.
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What is EOS crypto?
Calling itself the most powerful infrastructure for decentralized applications, EOS is a blockchain-based, decentralized system that enables the development, hosting, and execution of commercial-scale decentralized applications (dApps) on its platform.
No official full form exists for EOS, and the creators have decided not to formally define it themselves. EOS supports all of the required core functionality to allow businesses and individuals to create blockchain-based applications in a way similar to the web-based applications, like providing secure access and authentication, permissioning, data hosting, usage management, and communication between the dApps and the Internet.
It is also supported by a web-toolkit for interface development, making it a complete offering for hassle-free app development. It essentially works in a way similar to Google’s Play Store and Apple’s App Store.
EOS.IO & EOS Tokens?
The EOS ecosystem comprises two key elements: the EOS.IO and the EOS tokens.
To draw a parallel, EOS.IO is akin to the operating system of a computer — it manages and controls the EOS blockchain network. EOS.IO uses blockchain architecture that is built to enable vertical and horizontal scaling of decentralized applications. The EOS token is the cryptocurrency of the EOS network.
A developer simply needs to hold EOS coins, instead of spending them, to be eligible to use network resources and to build and run dApps. A token holder who is not running any apps can also allocate or rent his bandwidth to other participants who may need it.
Currently owned by the block.one organization, EOS was launched by Dan Larimer, who is also the founder and creator of established platforms like BitShares and Steem.it
What makes EOS different?
While there are already a number of blockchain-based networks like Ethereum, which facilitates decentralized applications, EOS focuses on critical pain-points of blockchain and attempts to solve the problem of speed, scalability, and flexibility that often become a bottleneck for such blockchain-based systems. (For more, see An Introduction to Ethereum Classic.)
With the size of the dApps ecosystem increasing with every passing day on a particular blockchain network, it often suffers due to limited availability of resources on the network. They include problems like the network getting constrained by a large number of false transactions and similar requests, spamming apps, slow speed of execution, and limited computing power available across the network.
EOS.IO attempts to address these problems by offering more scalability, flexibility, and usability through its unique mechanism.
It claims to be able to support thousands of commercial-scale dApps without hitting performance bottlenecks through the use of parallel execution and asynchronous communication methodology across the network. The efficiency is further boosted by separating the various modules involved in the working of dApps. For example, the authentication process is performed separately than the execution process.
EOS.IO offers flexibility in the development and maintenance of dApps through various features. Its ownership structure promotes free usage by the user, and eliminates transaction charges as developers are allowed to utilize resources in proportion to their stake instead of the standard pay-per-transaction model. This also makes it easier for app developers to predict hosting costs, and allows them to create effective monetization strategies.
EOS.IO uses delegated proof-of-stake and a role-based permissions concept, which allows flexibility to make instant high-level decisions, like rollback, freezing and bug fixing of broken apps, through a majority accord among designated stakeholders.
It comes with key usability features — web toolkit for interface development, self-describing interfaces, self-describing database schemas, and declarative permission scheme — that make the developer’s job easy for creating and maintaining the apps.
Unique Year-Long Token Distribution
EOS took a novel approach with a one year long ICO period. As per EOSCollective.org, EOS token distribution was carried out as follows with an aim to spread tokens far and wide throughout the whole ecosystem at realistic market prices without giving undue advantage to a select few during a short ICO period:
- 200 million (20%) of tokens were initially distributed during a five day period from June 26, 2016 to July 1, 2017.
- 700 million (70%) of tokens are currently being distributed on an ongoing basis of 2 million per day for 350 days.
- 100 million (10%) are being held in escrow for block.one to keep their incentives in line with that of the EOS community. Block.one’s tokens will vest over a 10-year period at 10 million tokens a year.
EOS tokens can be kept in multiple wallets that include Ethereum Wallet, MyEtherWallet, and MetaMask, and can be traded on exchanges like Bitfinex and YoBit.
The Democratic Inflation-based Economy of EOS
The EOS setup does not have any mining concept. Rather, there are only block producers who generate the required number of blocks and get rewarded by the creation of new EOS tokens for each new block they produce. Block producers have the flexibility to publish a desired figure for their expected pay, and the number of tokens that get created is calculated on the basis of the median value of the expected pay published by all block producers.
As block producers would obviously desire higher pay, this feature can easily be misused. To contain this issue, there is a mechanism to cap producer awards such that the total annual hike in token supply will not exceed 5%. Token holders, who are voters on such matters, have the authority to vote out block producers who demand more inflation, as deemed necessary.
This mechanism acts complementary to EOS storage, as all token holders will pay for the storage of files on the EOS network through a portion of annual inflation. As long as they are storing a file on the network, their EOS tokens will be held up, and will lose value at the rate of inflation.
The more storage is required, the more blocks will be demanded from the block creators who can demand more value for their work through higher pay inflation which can be approved by token holders. In case of decreased storage demand, inflation will be lower, thereby leading to smaller degradation in loss of value of EOS tokens held up.
What is EOS — A Conclusion
The potential of EOS seems to be huge as it aims to address the problems linked with standard blockchain-based networks. However, it is still a conceptual initiative which may or may not bear expected fruits.
The bold claim of processing 100,000 transactions per second is still questionable by many stalwarts of the blockchain world. The requirement to hold EOS tokens to be eligible to send transactions exposes the participant to volatility. A lot will be worth observing in the near future as the EOS ecosystem takes shape.
EOS Price Predictions 2020
Now that we got the informational part out of the way, let’s get to our EOS price predictions of 2020. This article will attempt to answer those typical questions heard across the crypto market, by providing traders and investors with detailed information on which they can formulate their own decision and feel comfortable in their investment portfolio. This guide covers all of the important aspects of EOS price predictions, such as fundamental analysis, price analysis, and technical analysis and price targets from the industry’s top crypto experts and EOS analysts.
EOS Price Forecast Longterm
EOS has a total supply of 1,024,389,871 native EOS tokens, with 927,689,866 currently in circulation, according to crypto market data aggregate CoinMarketCap. EOS is currently ranked 8th in the top ten crypto assets by market cap, making it among the top cryptocurrencies in the market with the most positive long term outlook and expected growth.
From the EOS ICO launch to current prices around $3.50 per coin, EOS has brought investors an ROI of 244%. EOS reached an all-time high value of $22.89 on April 29, 2018, while most other crypto assets had reached their all-time high in December 2017 or January 2018, showing that EOS has shown additional bullish momentum that could help EOS coin reach the price forecast of the experts listed in this guide.
EOS has been dubbed the “Ethereum Killer” due to the 100,000 transactions per second it hopes to achieve, in comparison with Ethereum’s current 15–30 tps. Despite being an “Ethereum Killer” EOS started its life as an Ethereum-based ERC-20 token, but later launched its own mainnet.
One often overlooked fundamental factor is the fact that the EOS cryptocurrency token’s lead developer and Block.One CTO is Dan Larimer. Larimer has been called the Bill Gates of blockchain and is the inventor of proof-of-stake and the concept of decentralized autonomous organizations or DAO. He was also integral to the founding of other crypto companies BitShares, Steemit, and Graphene. Larimer’s support and involvement suggest that EOS has long-term potential in the market, and this will have an impact on long-term EOS price projections.
EOS Price Analysis and Price Predictions
EOS trades across cryptocurrency exchanges such as PrimeXBT under the trading pairs EOS/USD, and EOS/BTC. Technical analysis can be performed on each of these trading pairs, and give unique results. Oftentimes Bitcoin moves correlated to altcoin crypto assets such as EOS, while other times they diverge and move in opposition to one another. This provides analysts with a variety of tools to perform price predictions, find price targets, and more.
The lowest price recorded for EOS was a price of $0.48 per coin, during the early phases of the initial coin offering that resulted in over $4 billion in funds raised. In 2018, EOS launched to much hype and enthusiasm, and EOS reached its all-time high value in April at $22 dollars, but soon after was dragged down by the bearish sell pressure and the negative sentiment the rest of the crypto market and Bitcoin was experiencing at the time.
During 2020, EOS has fared much better and is showing signs of a strong recovery. Thus far, bounced from a low of $2.43 per token, to as high as $5.47 per token. On the EOS/BTC trading pair, the low was set at 0.00033621 BTC and reached a high of 0.00053145 BTC. Both pairs present a great long opportunity after two years of bear market and drawdown.
Factoring the total EOS supply, current prices, and the previous all-time high of $22.89, EOS has strong price potential and the future price outlook can only improve from here. Even at current prices, which are near local lows, EOS has provided early investors with a 240% ROI. At the previous all-time high, EOS brought 4669% ROI for early investors who bought the ICO and then sold the top.
A return to the previous all-time high of $22.89 from the current price of $2.50 would represent an over 550% increase and ROI. Gains such as these are unheard of in traditional markets, and that number only represents the ROI if EOS returns to its all-time high. Blockchain technology like EOS is new, emerging, and still has many years to go before it shows its true value and revolutionizes industries. When that happens, EOS true long-term price potential will be revealed, and many speculate that EOS future price will have a price target well above the previous all-time high.
EOS Technical Analysis and Long Term Price Prediction
In addition to fundamental analysis — such as reviewing token supply, the team behind the project, and more — and general price analysis, technical analysis can help predict EOS price trends, and help to find short-term price targets.
EOS Price Prediction 2020
EOS has been trading within a massive symmetrical triangle for most of its existence. It will likely remain trapped within the triangle for the rest of 2020, with a potential high of $3.50.
A drop, however, would take the price of the cryptocurrency to a low of around 50 cents per token. This scenario is unlikely, the asset has already fallen over 90% from all-time high prices and has built significant support below.
Due to the asset being relatively new, it has much price discovery ahead of it once highs are breached and new records set. A breach of an all-time high is still unlikely during 2020, but it will get close or potentially take out the high at the close of the year.
Is EOS Token a Good Investment?
The answer to the question “is EOS a good investment” is one only the investor themselves can answer after considering extensive fundamental analysis, price analysis, and technical analysis to ensure all due diligence was performed and the crypto asset was widely researched before investing. This guide serves as a condensed version of the vast amount of research required to select the right asset to invest in and feel comfortable in holdings and portfolio allocations.
Given its potential to disrupt industries and the fact it’s already brought investors 240% ROI and it’s only just been launched, EOS has enormous upside potential in the future and has a place in every investor’s portfolio. How much to invest in EOS is up to the risk appetite of the investor and their comfort with the presented research.
If EOS reclaims its previous all-time high from current prices, EOS will provide investors with returns of over 550%. Using some of the price targets from the experts outlined above will give potential investors and traders interest in EOS a better idea of the long-term price potential.
At the $65–70 price target, EOS would bring a return of between 1700–1900%, crushing the gains of nearly every other asset class in history. But the $65–70 price target was the middle of the range for many top analysts.
On the higher end of the analysis, we had a $150 target price as a result of the greatest bull run in “human history.” Should the analyst be correct, and EOS goes on a massive bull rally reaching prices of $150 per EOS token, from the current price of $2.50 represents and over 3000% increase and ROI.
The highest and most profitable of the price targets would be at $349 per EOS token. From current prices to the loft long-term price target, EOS would appreciate just under 10,000%. A $1,000 investment would bring the investor a return of nearly $99,000.
If EOS is a good investment or not is subjective and entirely up to each individual investor, their taste, the amount of capital they have to invest, and their appetite for risk. This guide summarizes the most important data points across fundamental analysis, price analysis, and technical analysis to provide potential investors with short- and long-term price predictions, and help advise investors on how high the price of EOS can go, and allow individuals to make their own decision.