After an underwhelming performance this weekend, with Ethereum prices trading sideways within the $1,600-$1,700 range, ETH managed to break through the resistance and trade at $1,800. The global cryptocurrency market cap is up 5% today, currently at $1.137 trillion, and the 24-hour trading volume for ETHUSD is up by over 34%, currently at $14.4 billion. BTC’s dominance is still at 40%, but ETH’s excellent performance this Monday could start chipping away at BTC.
Ethereum Price Continues to Outperform Bitcoin
With the recent price hike, Ethereum is much closer to conquering Bitcoin’s 50% market cap. Ether continues to outperform Bitcoin regarding daily price hikes, up 5.26% today compared to BTC’s 3.86% rise.
Moreover, Ethereum is up over 8% this week, compared to Bitcoin’s 4% price hike. If this trend continues, Ethereum will soon reach 50% of Bitcoin’s valuation in its first milestone to potentially overthrow BTC as the most-valued crypto asset.
Bitcoin’s market cap is currently at $460 billion, compared to Ethereum’s $219 billion. Both crypto assets are performing exceptionally well this week, with credit given to increased market momentum and trading volume in the last several hours.
Bitcoin’s Lightning Network vs. Ethereum’s Merge
Both blockchains have unique scaling solutions for the next paradigm of crypto adoption. Bitcoin’s lightning network is a unique scaling solution enabling off-chain transactions. Ethereum is looking to tackle scaling by adopting a proof-of-stake model and implementing a robust Layer-2 model such as Polygon.
With the network merge in September, Ethereum will introduce additional scaling solutions such as sharding and rollups, which offer increased throughput by splitting network activity across several chains.
It’s worth noting that given the current bear market, gas fees for simple token transfers on Ethereum are relatively low, nothing compared to the $100+ transaction fees during November of 2021 or during peak periods of popular mints like ApeCoin’s Otherside Meta, etc.
Ethereum Price Prediction
Ethereum continues outperforming BTC in terms of daily and weekly price action. If this trend continues, we’re likely to see ETH surpass the 50% mark of Bitcoin’s valuation, giving rise to additional bullish momentum and intensifying ETHUSD’s uptrend.
With the recent rise to $1,800, Ethereum has broken through its 1-month high, which is bound to create FOMO for traders.
The three-month high for Ethereum is still a ways away, and ETHUSD will need to break through $2,300 to claim a new peak. The digital asset is likely to face substantial resistance at the $2,000 level, and if the trading volume remains high, we could see ETH hit that range by the end of the week.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service.
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