Is there a chance that Ethereum will catch Bitcoin?

Is there a chance that Ethereum will catch Bitcoin?

With the explosion in growth of cryptocurrencies such as bitcoin and ethereum this year, with many mainstream investors getting involved, many people are asking whether or not ethereum can ever catch up with the lofty standards that bitcoin has set.

Bitcoin reached a temporary high on Sunday evening before falling back slightly to $8,033 which is its current value. This means that it saw a daily rise of 3% and its market cap went to $134 billion.

This comes after a week of up trending last week where the rises were attributed to Wall Street investors who are bullish about Cryptocurrency and are ready to get involved in the ecosystem through a variety of different investments.

Ethereum also looks to be trending towards reaching a new all-time high in the near future. It is currently stabilising and at the moment is the second biggest Cryptocurrency on the market, having a current value of $358. At the moment, the market cap for ethereum is in and around $34.3 billion.

While ethereum has had some bumps in the road in recent times, it saw a resurgence in price during the middle of November. Over the last 7 days there has been a rise of roughly $40 and there are many experts, such as the billionaire manager of a large hedge fund, Mike Novogratz making the forecast that this price will continue to rise, even possibly going past the $400 mark that it has been striving for in recent times.

It was in the middle of June that the price difference between the market cap of bitcoin and ethereum was just $89 billion. Many people who were getting involved in the markets were excited and believed that ethereum would eventually topple the throne of bitcoin and take over as the leading cryptocurrency.

Yet, now that we are 5 months down the line, there is a very distinct result to what people had expected. Currently, the difference in the market cap of the two cryptocurrencies is $96 billion in bitcoin’s favour. Ethereum has lagged behind the impressive growth of bitcoin in recent months.

The question on everyone’s lips is whether or not this domination by bitcoin will ever end.

The main difference between the two is the more advanced technology that backs ethereum. It is the digital currency that is more likely to create massive transformations in both business and society due to the revolution that the implementation of blockchain will introduce.

They do not necessarily need to be seen as competitors either, as they both are able to serve different needs. Bitcoin is a great way to send secure peer to peer transactions but is not easy to create a whole business around it.

Ethereum has always been created with the aim of enabling software application creation that is decentralised, meaning that they are running on computers throughout the world at the same time. This means that there is scope for everything from media to government and financing being revolutionised. This obviously points towards ethereum achieving a lot of growth in the coming years.

One thing is for sure; both bitcoin and ethereum are here to stay.

 

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