Ethereum Could Soon Take Half of Bitcoin’s Market Cap, Tech Analyst Claims

By Ravindra Chagetha

The world has seen many advancements over a long time, the idea of flying in the sky which came true after the invention of Airplane, from chariots to jet planes and who can forget the smartphones which made the old rotary dial phones look like even your grandmother won’t prefer to use. The world has surely advanced but the advancement in the banking industry was felt like a necessity when people realized the need for a new system which does not involve long queues and time taking processes.

The introduction of blockchain technology and based on it the revolutionary cryptocurrency has given a new definition to the system of the transaction and has replaced the banking systems. Bitcoin quickly became the most famous of all the cryptocurrency. Bitcoin has seen its good time when its value reached the maximum in January but its value has fallen sharply since then. Ethereum is another renowned cryptocurrency after Bitcoin, which is blockchain-based distributed computing platform and operating system featuring smart contract functionality.

A recent word from the tech analyst working for Thomas Crown Art, he says that ETH could take half of bitcoin’s market cap within five years. According to McLeod, the second-largest cryptocurrency by market cap, its price will reflect the growth of the utility of its blockchain. He further added:

Not only do we think it will rebound considerably before the end of 2018, I believe that over the longer time it will significantly dent bitcoin’s dominance. In fact, I think we can expect bitcoin to lose 50 percent of its cryptocurrency market share to ethereum, its nearest rival, within five years.

Bitcoin is currently trading at $6,300 and its market cap is of $110 billion, which is over five times that of ETH $21.3 billion. As stated by the analyst if half of bitcoin’s market share is taken ETH could become the number one cryptocurrency.

McLeod, showing the quality of ETH, states that it offers much more than BTC as it allowed Thomas Crown Art to “create a system to use artworks as a literal store of value.” He also added unless BTC finds a better solution for its scalability issue, ETH will deluge in the next five years. He backed his statement by showing that ETH has also solved authenticity and provenance issues, as his firm’s works are “logged on the Ethereum blockchain with ‘unique smART contract.”

Defending the cryptocurrency and its network, McLeod added that ETH is “already light years ahead of bitcoin in everything but price.”

Rating agency Weiss Ratings also tweeted out in agreement:

ETH-based decentralized exchanges (DEXs) are also around the corner. The rivalry between the top two will continue while the crypto world flourishes.