Yesterday, the Chinese government through its ministry of industry and information, released a crypto ranking and Ethereum was at the top. The ranking was done publicly and was based on crypto application, technology and innovation. While there are a lot of people that don’t agree with this ranking for diverse reasons, it sure does spell good tidings for Ethereum (ETH) in the future.
That’s because China is one of the most important cryptocurrency markets in the world due to its huge size. However, government crackdowns on cypto exchanges and ICOs have to some extent negatively affected the mood in China. Now that the Chinese government has released this ranking, Chinese investors are likely to take an interest in the ranked cryptos, and more so in Ethereum; for its top ranking. This is guaranteed to create a wave of speculation in Ethereum that could see it skyrocket in the near future. That’s because China, Japan and South Korea have always driven cryptocurrency rallies, and in this case, the next rally could be driven by a huge demand from China.
However, the biggest boost that this ranking gives to Ethereum (ETH) is its utility in launching ICOs. China has been quite hard on ICOs and even when they launch, they are mostly on the NEO blockchain. Now that China has ranked Ethereum above NEO, the effect will be two fold. First it sends the message that China is reversing its tough stance on ICOs, which could see an upsurge in the number of ICOs coming into the market.
Second, a good chunk of upcoming Chinese ICOs could be released on the Ethereum blockchain based on its ranking. This could pretty much give Ethereum the kick it needs, to gain momentum for the next bull-run. It was an explosion of ICOs that drove Ethereum prices in 2017, and a similar explosion from China could push Ethereum way above the $2000 mark in the next wave of growth.
So why aren’t we seeing any major moves on the Ethereum price at the moment? Well, this could all boil down to the fact that the crypto market has been in a prolonged bear run since February, with minor rallies here and there. This to a large extent has driven down investor interest in crypto, even when big news are released. What we are seeing at the moment are partnerships and announcements that will shape the next rally. But once the rally gains steam, the price will rise, and investor interest will return. When this happens, Ethereum will be one of the biggest gainers. That’s because its demand will be pushed by ICO listings and speculator interest from China, one of the largest cryptocurrency markets in the world.
For someone looking to take advantage of the next bull-run and make a killing, this could be the best opportunity to invest in Ethereum. At around $700, Ethereum (ETH) is a steal when you factor in the fact that it is finding favor with the Chines government, one of the most influential governments in crypto sphere.