Will Ethereum outperform Bitcoin in 2017? This question is on the lips on millions of investors from all over the world. Today, we look into this matter together.
AtoZForex – As we all know, Bitcoin is the king of the top cryptocurrencies that are available on the market. Bitcoin has the advantage of the first mover in the industry, as the digital currency defines algorithms that allow for the transfer of assets from one party to another without any third party involvement.
Will Ethereum outperform Bitcoin in 2017?
Moreover, Bitcoin has introduced the Blockchain technology to the market, while now the technology gained worldwide acceptance. Just like that, Blockchain technology has been granted an acceptance from one of the financial giants – Goldman Sachs. One of the US biggest banking institutions has created a microsite specifically for describing the benefits of Blockchain technology.
In addition, Bitcoin value has been rising impressively fast. Over last 5 years, the cryptocurrency has advanced by more than 500 percent. Will Bitcoin stay on the top of the digital market?
With the abundance of other great cryptocurrencies, Bitcoin appears on the shaky ground. Bitcoin’s counterparts, such as Litecoin, Ethereum, and Ripple, have been gaining popularity during the first half of the current year. In my previous article ‘Why did Litecoin price rise?’ I have discussed Litecoin price forecast among other things.
However, today, I would like to draw your attention to another digital currency. We will talk about Ethereum. Specifically, we will try to answer the question: Will Ethereum outperform Bitcoin in 2017?
Ethereum price outlook
While Ethereum has been mostly advancing, latest analyses suggested that the digital currency has lost some of its steam. Nevertheless, as of now, the price of one Ether stands at $240.04. Moreover, the total market capitalization value of Ethereum currency stands at $25 billion, which is not too far from the one of Bitcoin – $42 billion.
Some of the market analysts suggest that Ethereum popularity might just be a consequence of increased demand for Bitcoin. However, is it really like this? Or maybe the cryptocurrency got the kick-start when Putin met the founder of Ethereum to create Russian cryptocurrency earlier this June.
Irrespective of the reason, the digital currency has been quite popular. Moreover, some of the market observers believe that Ethereum will outperform Bitcoin in 2017. There is a sufficient ground for such suggestion.
Will Ethereum outperform Bitcoin in 2017?
The value of Ethereum might get a boost from its platform. Market experts believe that Ethereum has taken the lead as the effective technology of this new demand on the market.
Even if Bitcoin was the first digital currency on the market, the newer and more advanced technologies are yet to come. The newer market players, such as Ethereum, have the advantage of being ‘not the first’. Like that, they have based their operating systems on already existing technology and improved it in many ways. Presently, Ethereum is leading the pack of innovations in the digital currency world.
Three reasons for strong Ethereum growth in 2017
Nevertheless, it is worth to note that we do not consider Ethereum and Bitcoin as direct competitors. At their nature, they serve different needs. Bitcoin aims to provide secure peer-to-peer financial transactions. However, some believe that this digital currency is not the best fit for building a business.
Decentralized future business. On the other hand, Ethereum is aiming to enable the creation of software applications that are decentralized. The digital currency’s system allows for simultaneous operations worldwide. This unique feature could lead to the creation of a new generation of decentralized businesses. The new decentralized environment could ultimately challenge the status quo in pretty much everything – finance, government, manufacturing, and much more.
ICOs. Just take into consideration the first application of Ethereum, ICOs. Initial Coin Offerings are basically the crowdfunding sales, where investors buy tokens. These tokens can be anything – share the in the company’s products, the interest of future profits and other. As of now, blockchain businesses have already raised $750 – million via the ICOs.
Real sharing economy. Therefore, Ethereum technology might be the most revolutionary system in present days. The technology has the potential to replace stock markets with peer-to-peer applications. It also can create a real sharing economy by outpacing Uber, Airbnb and the like.
Think we missed something? Let us know in the comments section below.