Will Ethereum be able to break the $2,000 mark this week?
Over the past few months, the top two cryptocurrencies in the market have moved very similarly. Bitcoin investors have ramped up their bullish momentum on the market over the past 24 hours after Tesla announced it would invest 7.7% of its capital reserves in Bitcoin. In fact, a few hours later,Bitcoin climbs to new highs over $48,000, Ethereum also breaks the long-awaited $1,800 mark。
As both digital assets were undergoing minor corrections at the time of the news. A related question is, is it possible for Ethereum to outperform Bitcoin?
The chart above highlights the growth rates of Bitcoin and Ethereum since their previous all-time highs. It can be seen that since breaking through $20,000, the value of Bitcoin has doubled, increasing by 133% as of press time.
Ethereum, on the other hand, gained 28% in 2018 after surpassing its 2018 high of $1,440. Based on,We believe that Ethereum still has a large gap compared to Bitcoin in terms of price discovery. And the face of the Ethereum ecosystem has also changed in the past 3 years。
Ethereum is currently in the process of moving its network to a proof-of-stake system where over $5 billion in ETH has been locked in Ethereum.
Like Bitcoin, Ethereum has also seen significant foreign exchange outflows from exchanges over the past 12 months, suggesting users are holding ETH with the long term in mind. The growth of ETH2.0 is also a sign of widespread trust in the world's largest cryptocurrency projects.
Institutional exposure has opened up with the launch of ETH futures on the Chicago Mercantile Exchange (CME). However, the latest data from CoinShares suggests that the asset class has seen massive inflows.
According to the above report,Nearly $195 million worth of investment has flowed into cryptocurrencies in the past week (before CME futures launch), with capital flows highly concentrated in Ethereum. In fact, institutions such as GrayScale, 3 iQ, and 21 Shares report that ETH accounts for nearly 80% of the total market inflows.
The CoinShares report states, “We believe investors are seeking diversification and are increasingly comfortable with Ethereum’s fundamentals.”
Price appreciation is not a race, but the overall bullish momentum could take ETH above the $2,000 mark by the end of the week. at present,Market sentiment is very positive for both cryptoassets, but Ethereum has a better ROI probability overall.
The original text comes from ambcrypto, compiled by Blockchain Knight, the English copyright belongs to the original author, please contact the compiler for Chinese reprint.
The original text comes from ambcrypto, compiled by Blockchain Knight, the English copyright belongs to the original author, please contact the compiler for Chinese reprint.
