Ethereum competing with Bitcoin: A story to watch out for!

Bitcoin is trading around $52,000 at the time of writing this article. The moment the US SEC approved its Spot ETF applications, the price increased. That cannot be mixed with the fact that the graph had no downfalls. The optimism of BTC holders about its price remains constant, especially with Halving just 203 months away.

There is a huge difference in the trading values of BTC and ETH. One may infer so for all the right reasons. Bitcoin has maintained its market dominance since the inception of the cryptocurrency industry. Ether rose from the ashes only when the hype had reached a fair level. However, ETH is presently engaged in direct competition with Bitcoin, as the cryptocurrency community speculates on when it is anticipated that the former will surpass Bitcoin’s dominance.

It is pretty much on track with an environmentally friendly design and a larger utility scope. This is evident from two aspects: its value at around $3,000 and Bernstein tagging it as the next institutional darling. The broker also expects Ether ETF to be the only digital asset other than Bitcoin to have its own ETF on the floor.

The probability of a similar occurrence is approximately 50%, and May has been designated as an optimal time period to observe it. Since asset managers such as BlackRock and Fidelity are pursuing interests with the Commission, the process may take slightly longer.

To be more specific about the price of ETH, the token is listed at $2,893.65, with a slip of 0.61% in the last 24 hours. That still reflects a surge of 8.625 in the last 7 days. Ethereum price prediction now estimates ETH to touch the base of $5,000 by the end of this year. Most of the technical indicators signal a strong buying interest. Thereby introducing the possibility of further price surges.

Two more elements working for ETH are staking yield dynamics and institutional utility to build new financial markets. Plus, Dencun is scheduled to go live in March. The blockchain upgrade will slash the transaction cost by 50%–90%, boosting its adoption.

Technical indicators with strong signals for Ethereum’s purchase are the 100-day EMA and the 50-day EMA. The current resistance level of $2,750 aligns with the 50-day EMA. Assuming ETH touches the milestone of $3,000, it would look to climb up the ladder to $3,200 as its next resistance level.

All that said, Ethereum is not completely flawless. Vitalik Buterin, the co-founder of Ethereum, recently acknowledged that the technical risk to the network exists in the form of bugs in codes. He is now seeking an intelligent solution to the problem and has said that artificial intelligence (AI) could be the way to go. Its capabilities would be taken into consideration for formal code verification and finding bugs in codes.

Simply put, Ethereum is not perfect, and Buterin knows this. He has identified the area for correction and is now seeking AI assistance to rectify errors and prevent more of them from occurring in the future.

Ethereum has a long way to go with Dencun and the ETF set as the mid-long-term agendas. Ether ETF has a chance of becoming a reality, whereas Dencun would actually see the light at the end of the tunnel.

David Cox

David is a finance graduate and crypto enthusiast. He projects his expertise in subjects like crypto and Blockchain while writing for CryptoNewsZ. Being from Finance background, he efficiently writes Price Analysis. Apart from writing, he actively nurtures hobbies like sports and movies.

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