Looking at Ethereum from its relative value
Last year, Ethereum (ETH) became a star cryptocurrency, and its price exceeded Bitcoin. But by this year it is completely different.
The second-largest digital asset in the market has fallen nearly 76% this year, and there seems to be no chance to breathe. The patience of investors has also been greatly reduced. Investors are starting to short the market, and competitors in the blockchain field have also expressed their desire to become the top developer platform.
Ethereum is a cryptocurrency that is inseparable from the Ethereum blockchain. Bitcoin can provide a global financial network, while Ethereum brings a computer network. Ethereum is like petrol. Developers use this token as a fuel for implementing certain functions on the blockchain. Last year, a large number of projects were built on the Ethereum blockchain. Investors regard this is an opportunity.
Although the price of bitcoin reached nearly $20,000 last year, Ethereum may be a better choice. From January to December last year, Bitcoin rose by 1318%, while Ethereum rose from a price of $8 at the beginning of last year to a peak of more than $756, with an increase of more than 9162%.
However, these two cryptocurrencies are currently difficult to stabilize. Bitcoin has fallen 54% this year, and Ethereum has fallen even more with 76%.
Although some investors have begun to search for the next Ethereum, former Goldman Sachs analyst Timothy Tam believes that the price drop is a chance for buyers who have the patience.
"It's a more stable technology — I think we'll look back on the $200 price and say, 'Wow, that's crazy cheap,'"
Executive editor： Nino