Cryptocurrencies have been rising exponentially for the past few years. Everyone is getting crazy about it, and many new investors are joining the market every day. No doubt that these digital currencies offer many advantages over traditional financial services, which is why this trade market has seen a huge rise. However, entering this volatile market and making good profits is not everyone’s cup of tea.
Many beginner investors are confused about which digital coin to choose while investing their money. Bitcoin stands at the number one position amongst all the crypto coins, and everyone is pretty much aware of this fact. It has seen many fluctuations in its market value in the past but remains in the first position. Ethereum is another good currency whose demand and value are also increasing gradually.
The question here is whether Ethereum can overtake bitcoin and if yes, then why? This article will share about Ethereum’s technology and various reasons for why it can become more powerful than BTC soon. Meanwhile, if you are interested in analyzing the price movements of the cryptocurrencies for better decision-making, then visit this site.
Reasons why Ethereum can overtake Bitcoin in the coming years
Bitcoin has been the most dominating coin amongst the cryptocurrencies for the past few years. But it is not the only one that rules the digital currency market. Ethereum is also a part of the crypto world that has been attracting many investors due to its advanced technology.
ETH has gained so much popularity these days, so many experts believe that it can become more powerful than Bitcoin. If you want some more information related to this, then consider checking out this review. Now let us move on and check out various reasons why ETH can surpass bitcoin in the coming years.
- It has better and advanced technology:
The first and the foremost important point which attracts more investors is the advanced technology of ETH coins. One of the most interesting features of their network is the smart contracts. In simpler words, these smart contracts are a bit of code that lives on the blockchains and can be executed by the public.
A smart contract EVM (Ethereum virtual machine) that ETH features use Ether currency for building peer contracts. In simpler words, you can take it as a network where one single computer is shared with several users forming the network. This computer network is used to parcel out the resources, whose payments are done using Ether.
- Provides quick verification of the transactions:
People who have already invested in Ethereum must know how fast the transactions become using it. It takes only about 10 seconds compared to BTC that takes approximately 10 minutes to complete the transactions. Therefore, ETH has a great scope in the future because people don’t like to waste much time while doing any transactions.
- More uses as compared to bitcoin:
Another advantage of ETH over BTC is that the former has more uses than the latter. It is used to make transfers or transactions and build your own ICO (Initial Coin offering), which is a great method to earn funds for creating a new digital currency. A person can even use ETH to put data on the Blockchains.
- The difference in the developer’s community:
No doubt that many voluntary open-source developers maintain both currencies, but in the case of ethereum, another enterprising team helps in writing the blockchain apps, which takes this currency to another level.
Also, if you are an experienced investor, you may have noticed that ETH has much more features than Bitcoin since the beginning. That is why it is growing gradually in this trade market and can overtake bitcoin soon.
Things to consider before investing in Ethereum
Now that you have understood that ETH is soon going to surpass the other powerful digital coins. As the number of investors is looking forward to investing in ETH, let us quickly look at some tips you must consider before buying Ether.
- Check out its difference from the other crypto coins: Whenever you think of buying any crypto coin, it is always advisable to compare it with the other digital coins. By checking the difference, you will understand the pros and cons of the currency that you are willing to purchase.
Let us take an example of a recent report according to which Tesla has announced that they will not accept Bitcoin payments, which paved the way for the ETH. Ethereum developers are working hard to make it more energy efficient by advancing its technologies. That is why keeping yourself updated with the current news is also important before making any decision.
- Check it volatility: Volatility is not something new that you might have heard, especially in cryptocurrencies. No doubt that since 2018, Ether has been performing well and rising exponentially. But that is not something that can guarantee you everything. So, make sure to study the market and the fluctuations coming in the market value to avoid taking any huge risks.
- Find out its uses in the real world: The most important question that should arise in every investor’s mind is where and how he can use the digital coins. After all, if something has no utility in the real world, there is no point in investing money in it. Ethereum can be used in several ways, which is why it is attracting more investors than other currencies.
To sum up
Bitcoin has been ruling the crypto world for years, but it is not the only currency that has the power to keep ruling even in the coming years. Ethereum has also been rising gradually due to its advanced technology and many utilities other than Bitcoin. Experts have also claimed that ETH can overtake the BTC in the future.