A 380% increase during the year. Will ETH surpass BTC to be far?

On September 2, the volatile market conditions reversed.

On this day, Bitcoin broke through the $50000.00 mark. Ethernet Square ‘s prices extended gains in two days there has been a significant jump in the highest levels of above $ 3800, reached more than three months past.

As of press time, BTC is quoting 50040 USDT and ETH is quoting 3742.19 USDT.

Since 2021, Bitcoin has only risen by 70%, while Ethereum has climbed by more than 380%. As the market value of Ethereum continues to rise, some analysts believe that Ethereum will eventually surpass Bitcoin.

Bill Gurley, a partner at the Silicon Valley venture capital firm Benchmark in San Francisco, California, said in an interview with Bloomberg last week that if you want to be exposed to cryptocurrencies , you are more optimistic about Ethereum than Bitcoin .

Payal Shah, director of equity and cryptocurrency product development at the Chicago Mercantile Exchange Group (CME Group) wrote in a report released in mid-August, “Ethereum has more than 200,000 ERC tokens. In general, with With the popularity of DeFi, more and more retail consumers may turn to the DeFi field.”

Raoul Pal, a former Goldman Sachs executive and current founder and CEO of Real Vision, believes that Ethereum will soon surpass Bitcoin. In a conversation with YouTuber BitBoy Crypto and its 1.22 million subscribers, Pal stated that Ethereum may be close to the market value of Bitcoin this year. In the next bull market, Ethereum will surpass Bitcoin forever. The reason for Pal is that Ethereum (ETH) has many use cases involving transactions, NFTs, and developer activities. Compared with Bitcoin at the same stage, the user base of the network is also growing in greater numbers. In addition, the EIP-1559 upgrade is cutting the supply of ETH, making it limited and subsequently more valuable. In addition, with the advent of ETH 2.0, Ethereum may grow exponentially. However, due to its appreciation in value, most people who hold Bitcoin (BTC) prefer to hold it for a long time. BTC can become the foundation of a global currency, but other cryptocurrencies can also achieve the same goal.

According to ultrasound.money data, as of now, the number of ETH burned by the Ethereum network has exceeded 167,585, with a total value of approximately US$627 million (calculated at current prices). According to data from Coingecko, in terms of market share, BTC is currently 40.6% and ETH is 19.0%.

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CryptoQuant data shows that more than 6% of the ETH supply is now locked in the Ethereum 2.0 smart contract, which is approximately 7.28 million ETH.

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Undoubtedly, due to increasingly tight supply, the price of Ethereum is showing signs of upward movement.

However, Ethereum is competing with a long list of competitors, such as Cardano, Solana, etc.

The European digital asset investment platform CoinShares recently released a report on the flow of digital assets that mentioned that Solana-related investment products attracted institutional investors to invest US$7.1 million last week, while investment products related to Ethereum only had US$3.2 million inflow. CoinShares emphasized that Solana has become a strong competitor of Ethereum, which provides a more flexible infrastructure and faster transaction settlement than Ethereum.

Cardano uses a two-layer design to perform calculation and settlement separately, which solves the problem of network congestion. At the same time, based on POS, Cardano hardly consumes any energy. It is worth noting that its token ADA broke through $3 today, setting a record high.

It should be noted that there are some mixed sentiments in the market right now. Users are celebrating the price increase of ETH, but at the same time questioning what it means to decouple ETH from Bitcoin. Some believe that this may be the beginning of a strong altcoin season.

 

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/a-380-increase-during-the-year-will-eth-surpass-btc-to-be-far/
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