Currently closing in on Bitcoin, Ethereum is a popular cryptocurrency that challenges even the most established digital money units. With its rapid rise, some experts have been quick to point out that the currency will soon topple over Bitcoin price. Recently, when Ethereum attained a market level of $1bn dollars, many stakeholders expected the currency to continue doing well but soon afterwards values started tumbling in an unexpected way. Concurrently, Bitcoin price also fell at exactly the same period making value predictions quite uncertain.
Google Trends indicates that the overall amount of search engine queries for this new cryptocurrency keeps on increasing, while for BTC it shows a totally different trend. Though previously there were some peaks of sudden interest in Bitcoin during the months of November and December 2015, things have since calmed down and as a matter of fact very insignificant changes have occurred over the last 12 months comparing starting levels with the official cut-off point.
Even importantly, the past 3 months have witnessed many ups and downs in Bitcoin price, with more negative than positive gains to report. Values were well above $460 USD by start of December 2015, but have since fallen down significantly, reaching a bottom of US$365.67 soon after the turn of New Year. However, Bitcoin price has soared up once more in recent weeks reaching an estimated US$410 per unit by mid-March 2016.
As for Ethereum price charts, users could say that the only way conceivable is “up” taking into account its visible upward trend noticed since January this year. But despite the gains, there have also been a few value dips, though ceased ground index has been gained relatively fast as well. The recorded price per Ether climbed from $0.843 dollars on 11th December 2015 to $10.15 by March, stakeholders are yet to see whether this price momentum will continue being steady or fluctuate.
Some people are already wondering whether Bitcoin price volume has started flowing into Ethereum. If the Bitcoin price plummet and the competitor’s quotient go up during a specific time period, it could indicate that there’s a shift in cryptocurrency trading volume. But that being the case, questions are still being asked as to why its price isn’t dropping when BTC goes up again, with investors keen on flocking back to their hitherto investment strategies.
Chart statistics show that there’s been a steady inflow of Ethereum funds deposited within the month of February, though in a sporadic and unpredictable way as Feb. 20th saw the lowest quotation of USD volume coming into the cryptocurrency. Only US$13,675.44 was transacted across all exchange platforms. However, in real fairness the USD digit isn’t a very good representation of Bitcoin price trading volume. Chinese Yuan is a bigger player in this regard since most investors prefer using it than the American currency, which is considered less anonymous when conducting business online.
While there’s been a lot more cash flowing into BTC over the previous few days, Chinese Yuan trading index has also multiplied over a similar time period for unknown reasons. It’s also worth noting that the biggest currency inflow into Ethereum comes from Bitcoin itself, accounting for about 87.66% of all volume traded in the recent few weeks. There has certainly been some capital flight of BTC into its competitor during the initial weeks of February, though volume has since eased off. Slightly more Bitcoin currency has been exchanged for ETH within the past few weeks, correlating to increased Chinese Yuan investments into BTC.
This could be an indication that more Chinese residents are purchasing Bitcoins to access Ethereum after all. Since the size of a block is considered a constant value in BTC, to change it you’ll need a verbal understanding between consenting parties and an active software update as well. When it comes to Ethereum, miners rely on blockchain increase or decreases for determining block size. The mechanism for retrieving this cryptocurrency is already in place, as stakeholders keep adjusting the baseline size every now and again.
While many altcoins have come and went, with others still being in existence, Bitcoin has however maintained its status as the most popular and highly valued digital currency. Nevertheless, recent challenges have come up within the Bitcoin blockchain, which has seen transaction efficiency levels drop by a significant ratio. Hence, the main concern for BTC users is not just a decrease in efficiency rating, but also protocol involved in resolving ongoing challenges as developers currently seek a consensus.