Interesting to see that the consensus here is that bitcoin will remain king of crypto currencies. What I’ve seen on most other medias is that ethereum will most definitely take the throne sooner than you think. The exchange rate between eth and btc has improved, showing ethereum is catching up.
The latest report everyone seem to agree with is ethereum reaching 25k - 35k within Q1 2022. 35k goal is possible only if BTC reaches 175k.
I am still trying to learn the details of how everything works.
For example I don’t understand how it’s possible for ETH to overtake BTC when ETH transactions are so expensive. Currently the average cost of each transaction is around $4 - $5 but on some days it can go as high as $30 for a transaction. BTC doesn’t have that problem thanks to lightning network. How is ETH supposed to be usable as micro transactions in DAPs when the transaction fee is so high?
I am going to ride the ethereum train for now even though I don’t understand how it’s so extremely bullish. I think long term Cardano is going to be the best. Their approach with peer reviewed papers and only making stable releases is the right way to do this. And it’s very smart of them to make their first goal to get the undeveloped world to start using ADA instead of the developed world which ETH is aimed at. The undeveloped world is in much greater need of crypto currencies than the developed world.
Can someone maybe explain a bit about ethereum’s transaction fees? Would also be nice to have it compared to Cardano’s.
Hi,
That depends on the timeframe you are looking at. ETH has been as much as one sixth of a BTC in the past and as little as less than one fiftieth. I do not frequently trade cryptos (no trades last four months) but when I do it is with respect to longer term value compared with BTC. So I bought ETH early this year at about 30:1, and intended to sell half back to BTC at 15:1. However, I changed my mind and now intend to sell half ETH back to BTC at just over 10:1. That is a 2:1 gain, admittedly it may have taken months, but this is an unleveraged trade for a substantial part of our portfolio. Originally intended as a trading strategy that was to last between two weeks and three months, I have now extended the duration of of the strategy for “up to six months”.
My strategy does not rely on ETH overtaking BTC, or even gaining ground on BTC over the longer term. However, it does seek to take advantage over the one year / three month / one month sentiment as would a Forex strategy, for example, looking at market direction of the daily based on the four hourly and the weekly.
Fees are an issue, but solutions are in the works. As for why the mood around Ethereum is so bullish, there are several things:
It’s the leader in DeFI - Decentralized Finance, a collection of products and services, open to anyone with an ETH wallet. It is the democratization of traditional financial systems (banking and lending to name two) that’s had a tendency to lock out certain groups of people. It’s banking for everyone.
Now, Ethereum isn’t the only game in town. There are other blockchains doing many of the same things that Ethereum is currently, and they’re doing it better, faster and cheaper. But for now, Ethereum is versatile, it’s got an expanding community of developers and fans, it’s got a gigantic list of working projects/products/services, and it’s the leader in the DeFi revolution.
Bitcoin, the world’s largest cryptocurrency by market value has rallied to a record, topping USD 66,000 for the first time. The rise is evident as more professional investors, businesses and even the government of El Salvador buy into Bitcoin. Having said that, the main catalyst seems to be the optimism for greater mainstream acceptance in the wake of the successful launch of the inaugural exchange-traded fund for US investors. However, not everything is prim and proper in the crypto world. The problem with existing crypto markets is that there are several exchanges that are illiquid with varied prices. Besides, the extreme volatility, lack of transparency, ill- regularisation and manipulation, hacking are also factors to consider. Investors are getting more interested in Bitcoin as they’re regularly seeking assets whose prices moves independently of everything else in their investing portfolios.
Consider that BTC has limited supply and is starting to be seen as a store of wealth and for many instutions now, a hedge on inflation preferable to gold. ETH serves a purpose and has an unlimited supply. While I am very bullish on ETH, esepecially as ETH2.0 is brought to us, it has direct competition from the likes of ADA and SOL, both of which are natively PoS in a booming DeFi and NFT market.
This five year history puts in perspective what the crypto market is capable of. In October 2016, BTC opened at $651. Yesterday it went over $65,100. That is a 100X gain in five years. I know they say that history is no guarantee of the future, but if it were to do another 100X in the next five years, it would be priced at $6.5M per bitcoin. If it ever reaches one tenth of that, it’s lifechanging for anyone who bought in even only last year.
On the same day, ETHUSD opened at $11.93 and is now $4,300, a 360X outstripping BTC by nearly 4X. If ETH did another 360X in the next five years its price would be $1.548M. That is still not more than if BTC does a 100X again. But as ridiculous as these numbers may seem, it may be useful to think not in terms of how many “US dollars” they will be worth, but how many BTC or ETH they will be worth.
There is another thread on here about buying BTC on a weekly basis, which the author has done for some years now. And that is exactly what I think is the best way to enter crypto at any time in life. Sacrifice three Starbucks coffees every week, or a packet of cigarettes, and see where £10 worth of cryptos per week will end up in five years’ time.
I doubt it will overtake it but it has more utility.
Bitcoin is the new Gold for younger investors a hedge against inflation.
I hold both and you won’t go wrong doing so
Buy both hold both
I see it’s the anniversary of the BTC pizza .
Seen a video with the guy , 2 pizzas for 10k bitcoin!!
Wonder what the pizza owner did if he held or sold
I think it should be hard to beat, because Bitcoin has always been far ahead of Ethereum in terms of release time and popularity, but the potential of Ethereum is huge. I have started Ethereum mining now, I believe it will definitely develop better in the future
Are you talking about the former programmer who held a lot of bitcoin? If he can hold bitcoin till now, then he must be able to squeeze into the world’s richest list, haha, just kidding
