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Ethereum’s (ETH) Daily fees Surpass Bitcoin’s (BTC) Again

News
Wed, 06/10/2020 - 10:53
Vladislav Sopov
Some events repeat themselves, but Messari expert Ryan Watkins believes time its special. Here’s why
Ethereum’s (ETH) Daily fees Surpass Bitcoin’s (BTC) Again
Cover image via stock.adobe.com
Contents

Ryan Watkins, a research analyst for Messari, has revealed the major catalysts behind the flip from both Bitcoin (BTC) and Ethereum (ETH).

Strong trend instead of momentary spikes

As revealed by Mr. Watkins, typically, Ethereum (ETH) surpasses Bitcoin (BTC) in terms of total network fees in ‘momentary spikes’. The last time this occurred was during the painful crash in ICO euphoria in mid-2018.

Ethereum (ETH) surpasses Bitcoin (BTC) in daily fees
Image by Messari

But now it looks as though Ethereum's (ETH) advantage may hold for some time. This is the result of increased usage of the Ethereum (ETH) network as a settlement layer. 

Mostly, this works perfectly with stablecoins. As covered by U.Today Crypto News, the ERC20-based USD Tether (USDT) stablecoin is one of the biggest parties using Ethereum (ETH) network resources. 

Also, many Ponzi schemes that use Ethereum (ETH)-based stablecoins, like Paxos Standard (PAX), consume an insane amount of Ethereum (ETH) bandwidth and, therefore, cause high network fees.

Second-layer solutions may turn this around

However, the Messari expert foresees that the implementation of scalability solutions, primarily – a second-layer infrastructure – may unload the Ethereum (ETH) main chain. If this happens, network fees will plunge.

He remembered the migration of USDT (ERC20) transactions to Plasma sidechains by the OMG Network, which upgraded the performance of Bitfinex exchange.

With this upgrade, numerous Ethereum (ETH) transactions are processed in the same block. Plasma infrastructure allows processing some data off-chain to save the capacity of the Ethereum (ETH) mainnet.

Mr. Watkins outlined that this move will be of crucial importance and

could relieve pressure on the Ethereum blockchain and reduce fees.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)