Making a handsome gain in its value, the second-largest cryptocurrency by market capitalization, Ethereum has gone beyond $3,000 on Sunday for the very first time. ETHUSD, on Sunday, was trading at its all-time high value of $3050. In comparison, the value of Ethereum was $208 a year ago, which means now at its present level, its value has witnessed an increase of 1359%.
In 2021, ETH has witnessed an increase of 310%, and within the last 7 days, its value registered a rise of 25%. According to the estimate of CoinMarketCap.com., the total market capitalization of ETH now stands at $350 billion. At this market cap, ETH today is a bigger organization than the likes of Nestle, Procter and Gamble, PayPal, and Roche, which have a market capitalization of $337 billion, $326 billion, $308 billion, and $282 billion, respectively.
For the investors, market capitalization is a reliable indicator of the company’s value, and it helps them make crucial decisions about the buying and selling stocks of the organization. In the case of cryptocurrency, the total market cap is calculated by multiplying the outstanding number of coins with the last traded value of the cryptocurrency.
In the case of Ethereum, the calculation of the actual value is a tricky task. This is because ETH can be simultaneously considered a store of the digital value and token that helps in the functioning of the Ethereum blockchain. Still, there is no doubt that the recent surge in the prices of Ethereum has really catapulted the fortunes of the cryptocurrency, and now it is considered a very attractive investment option by investors across the economic domains. Click here for detailed ethereum price prediction from CryptoNewsZ.
It is very much natural to have the comparison of gains made by ETH with that of Bitcoin. Speculations are rife that ETH could overtake BTC in terms of gains on the investment; however, it will be too early to declare the verdict on this speculative issue. Both cryptocurrencies are doing well in terms of their market valuation, and although gains made by ETH are indeed far superior to BTC still, it cannot be said with certainty that ETH will flip BTC in gains in the coming time. We have to wait and watch to decisively find out the future trajectory of the crypto market and, accordingly, the gains/losses made by the digital coins, including ETH and BTC, among others.