Ethereum breaks through $1,000 – bitcoin remains at $33,200 – coin-update
On days when BTC was up 5-8 percent in December, Ethereum moved flat at times, consolidating around key support levels as capital focused primarily on Bitcoin. Many attribute this to institutional support for the crypto market accumulating primarily in Bitcoin.
However, Ethereum has finally made it and is outperforming BTC after the leading cryptocurrency started to consolidate in the $33,000 range (Go to Buy Bitcoins Guide).
Ethereum is experiencing a strong reversal
Ethereum has risen from $750 to over $1,000 in the last 24 hours and has gained 31 percent against the U.S. dollar. While ETH cracked the $1,000 mark, leading cryptocurrency Crypto Trader is up over 20 percent in the last 24 hours and about 30 percent in the last 48 hours alone.
The ETH rally comes at a time when Bitcoin has stalled somewhat. BTC has fallen slightly in recent hours as capital has begun to shift into altcoins. However, this was not really unexpected.
Matt Kaye, the managing partner of Blockhead Capital, posted the tweet seen below earlier this weekend. This one shows that Kaye thinks if Bitcoin consolidates, Ethereum could shoot higher.
Prominent analyst “Light” also recently said he thinks now is the time for altcoins to outperform bitcoin.
A strong 2020 ahead
According to Andrew Keys, a former ConsenSys executive, Ethereum is likely to do extremely well in 2021 due to ETH2 and the continued growth of decentralized finance:
“The Eth 2.0 upgrade will catapult the network’s performance and attract even more attention from corporates and institutional investors, driving the price of the Ether currency to new heights.”
He added that he thinks the total value locked in the decentralized financial space will grow to $150 billion.
“It’s undeniable that Ethereum is the home of the majority of decentralized financial activity. But other networks will enter the space in a more material way, using other native tokens in Ethereum’s DeFi ecosystem. With the various tokenized Bitcoin options (tBTC, ren, wBTC) growing in popularity, we’ll see Bitcoin’s $430 billion market cap collateralized in DeFi.”