The cryptocurrency market has been in existence for long enough to now result in the reversal of a status quos that has been in place for years and something of that nature is now happening with Ethereum (ETH). Back in 2017, when the entire crypto market was making enormous gains, and Bitcoin was reaching new highs every day, Ethereum quickly emerged as the second-biggest cryptocurrency in the market.
Etheruem vs. Bitcoin
As a matter of fact, plenty of crypto experts had gone on to say that ETH could eventually upstage Bitcoin as the biggest cryptocurrency in the world by market cap. Like Bitcoin, it also reached massive highs at its peak and accounted for as much as 33% of the entire crypto market. However, unlike Bitcoin, Ethereum has fallen from grace, and currently, it is no longer as influential as it used to be.
>> Bitcoin Breaks $12,000 Amid Global Recession Concerns
At this point of time, the value of the total Ethereum network does not even make up 8% of the entire cryptocurrency market, and that is a particularly jarring drop from 33% when it was at its height. In fact, its current share is only 7.86%, and that is the lowest level for the cryptocurrency since back in March of 2017.
Ethereum is primarily a smart contracts platform, and back in the day, there was a lot of interest in what the blockchain did. Moreover, the Ethereum Enterprise Alliance and its tie-up with big-ticket companies like Deloitte and Toyota (NYSE:TM), among others, had stoked its fair share of optimism as well.
When Bitcoin was in trouble, many believed that Ethereum would eventually become the biggest crypto by market cap, but it never actually came to pass. As the problems with Bitcoin and its scaling blew over, money started flowing back into the token and Ethereum was left in the dust. Moreover, the establishment of many more tokens and rising competition has also been a factor in Ethereum’s fall.
Featured image: DepositPhotos © yuliang11