“Trading in Ethereum markets went live on Aug 7, at an initial price of approximately 0.01 XBT (equivalent to ~$2.8). The price increased to 0.012 XBT (equivalent to ~$3.1) within a couple of hours and settled back in the 0.01 XBT range until the following day. Since Aug 8, prices have declined 80% to settle within a range of 0.002-0.003 XBT. The current price of 1 ETH is approximately 0.0025 XBT, equivalent to $0.65 in USD.” – URL
Thier’s Law famously states “Good Money Drives Out Bad” or; “In the absence of effective legal tender laws, Gresham’s Law works in reverse”. Bitcoin is more or less the perfect type of money, and with it’s network effects there is no point in trying to create the same type of value-transferring functions in any competitor. Ether, if usable at all, should slump towards having the same value as the actual energy cost of processing contracts using that same ether – i.e. it’ll be “pegged” to the processing cost at the lowest possible level – as long as it’s easily and quickly interchangeable with the base reserve currency: Bitcoin.