The crypto world has left everyone amazed at understanding the volatility of it. We have seen a huge steep in the prices beginning from this year, i.e. January 2021. As per benzinga.com bitcoin’s market capital remain number 1 till April 2021. But, at the very beginning of May this year, Ethereum crossed the market capital of the Bank of America (BOA). Isn’t it a great achievement? The price of Ethereum was almost 2000 dollars per coin at the beginning of April, which became around 3000 dollars within 28 days. This hike in price was observed by a veteran trader named Melker. He told that the price of Bitcoin consolidation would be an opportunity for the second-largest cryptocurrency to take a bullish ride over it. He felt positive towards the price increase and told that it will beat Bitcoin’s price hike at least in a short-term period. This became true as ETH’s daily transaction became double that of BTC in the 1st week of May.
He gave an insight into his investing strategy by explaining how he was largely shifting his strategy of dollar-cost averaging from Bitcoin to Ethereum in the last couple of months. Isn’t it obvious to look at the growth of ETH and invest in it? He even quoted that “It’s like investing in the internet in the early 1990s to me”. The growth of ETH in recent days has given its holders a faith and stood on the trust they up-hold on it. But the main concern that is yet to be answered is, will Ethereum cross the mark of $10k in 2021 and outperform Bitcoin in the short-term race? The answer could be positive. Looking at the current growth of Ethereum, it may surpass the $10k milestone sooner than that of BTC. It took Bitcoin almost a decade to cross this milestone, whereas Ethereum’s current growth rate is promising it to complete within 5 years. The reason behind the growth of this coin’s market capitalization is its development process. The ALT season is here (quoting veteran trader). People tend to invest in the DeFi coins more than other coins.
Every single day, there is a new coin emerging in the crypto world with a vision, many coins are made from ETH. The recent announcement of launching ETH 2.0 brought people in a dilemma to either hold up on ETH or switch to ETH 2.0, as ETH 2.0 will not allow any withdrawals till 2022. This is just the beginning, Ethereum developers have announced the self-destruction protocol from June 2021, and this will make the coin more valuable and clean up the wallets even more. The price hike of BTC was because of its supply and demand, as the total number of BTC coin that will be circulating is only 21M, people tend to take it as a more valuable asset. But looking at the development of ETH, BTC may not remain the spot-light in the crypto world for long. The circulation supply for ETH is almost 100M. Looks like the $10k milestone is not so far from where we are today.