The update which we had given earlier on London Hard Fork concerning Ethereum had given a fast twist to the second largest cryptocurrency so much so that investors of Bitcoin had to have feeling of regret of been left behind in the race. But not to worry Bitcoin is again ready for a kick off start.
Market cap had priced the numero uno digital token at $50,000 thereby delivering ahead of 70%returns and Ethereum on the other hand had a rose of round 80% to $3,300 from its initial figure $1,850. Therefore, due to such a strong competition between the two had made investors think over which amongst both is having higher value.
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Response of Both Crypto Exchanges
The Chief Business Officer of CoinSwitchKuber, Sharan Nair was of the view that cause of many DeFi projects around; Ethereum had seen a price rise. Although experts of the view that Ethereum is having limited supply leading to increase in movement of token. But still such a movement can’t take the place of Bitcoin.
On the other hand, Siddharth Menon, COO of WazirX was of the view that Ethereum might take place ahead in returns but can’t take place in market cap. Bitcoin would remain at the same position of holding maximum shares and dominant too.
The London Hard Fork update is now at an urge of deflation so Ethereum too is getting scarcity premium and Bitcoin meanwhile is facing limited supply of mining with 21 Million Bitcoins only.
Nair again was of the view that if Ethereum faces supply limitations then price would for sure increase as it is the basic law of demand and supply.
Whereas, For WazirX, Menon didn’t have any individual advice.
Conclusion
Such a supply shock has become a boon for Bitcoin and would aid in making prices higher of Ethereum. Analysts couldn’t choose one token over the other as they both have well defined usage, strong fundamentals and outperformance over many years.
To this, Nair had his advice that Bitcoin is there since long and has therefore gained popularity and Ethereum on the contrary is having chances of growing over time so both are having different use situations.
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