BTC has been the undisputed king of crypto
Be it the market cap or market dominance. BTC rules the crypto universe.
As of writing this post there are 20,644 cryptos being traded on 512 exchanges together creating a market cap of $1,050,391,411,615.023
That being said BTC currently enjoys a market dominance of 39.6% and ETH of 20.0%
There has been a slight change where BTC enjoyed a market dominance of 39.9% and ETH of 20.3%
So the market cap of BTC has been slipping in favor of ETH.
So when the big institutions look at the crypto space they first look at BTC then at ETH and then the rest of the cryptos follow.
We clearly see a tilt in favor of ETH.
The race between BTC and ETH
Whenever BTC runs ETH follows and this has been the pattern of this right from the very start.
However for the last few weeks ETH has been running harder.
If we were to look at the charts of BTC & ETH then the month of June 2022 was not exactly a good month.
On 18th June ETH price dipped below 900$ and touched $880 level.
source
Similarly the BTC price too took a dip and we was a price of $17,601 per BTC
This shows the co-relation of the BTC & ETH pricing.
We are technically in a down trend
Technically this is the crypto winter where crypto prices slide down or simply do not increase.
How news flow affects the crypro momentum
Usually when the crypto space is in an uptrend the markets react to the positive news favorably and this takes the prices up.
On the other hand negative news is discounted or not given that much importance.
The reverse happens in a bearish situation. Positive news does not get any response from the markets and negative news pulls the prices down.
ETH has caused a mood change
There have been periodic news about the ETH merge event. The news flow has been positive and encouraging. There are plenty of indications that the merge event would be on schedule.
This event would mark the transition of ETH from POW proof of work to POS proof of stake.
Thus every time there has been a good news coming from the development team the price of ETH has gone up.
The current price of ETH was $1800 (19 Aug 2022)
That is it has doubled from the lows of June 18.
BTC price was $21548
This clearly shows how ETH has outperformed the price of BTC in percentage terms.
Thus if A person invested in ETH at the price of $880 on June 18 2022
and a person B invested in BTC on the same day at $17601
For A his investment has doubled in value.
So would ETH post merge may become a bigger force to reckon with attracting more investors and fans on board.
