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Will Ethereum Surpass Bitcoin after the crypto breakout

Written by Rob the Watergod | 6/28/2021

Ethereum, a decentralized, open-source blockchain, was doing great this year, but what about its past records. For instance, ethereum in 2017(4 years ago)  was at just 7 dollars, and last year it was at 2,839.  However, Did ethereum do better this year than last year or did last year’s ethereum outrank the present? In this article, we will take a look at the price movement for Ethereum (ETH) in the 2015-2018 bullish cycle and compare it to the current one.

Ethereum Gas fees dive to annually low

Now, ethereum gas fees have fallen as low as 1 dollar for an average transaction. The recent reduction in the crypto market has seen ethereum transactions pull back down to cost-effective levels once more. On Sunday, surprisingly, ethereum’s gas fees were only 5 gwei or 0.15, which is the average cost of gas fees. Following a surge in price for ethereum, the price hit an all-time high of $4,372 on May 12. Ethereum’s price began to tick higher as gas fees began to surge. Gas fees in May hit a high of 300, as market participants enjoyed bullish momentum across the non-fungible token (NFT), decentralized finance (Defi), and decentralized exchanges (DEX) sectors. 

The price decline has hit the market hard as popularity descends. Ethereum gas fees were changed positively by the negative price action. Traders can now pay as low as $0.12 on the ethereum blockchain transaction. The decline in DEX volumes is perhaps another sign of a decrease in ETH gas fees. In the past days, Uniswap volume was sitting at $884.5 million which is lower than its all-time high of 2.62 billion in daily volume on May 19.

Ethereum Investment saw a High of 50M

Investors are leaving digital asset investment products and funds focused on ethereum and bitcoin, as a wave of negative sentiment weighs on crypto. For the week ending June 25th net outflows from cryptocurrency funds totaled $44 million, marking the fourth consecutive week of redemptions. According to a report by CoinShares published Monday, Ethereum products endured net outflows of $50 million the week before. which is the largest on record since 2015.

In 2021, the move marks a reversal from the trend so far, with Ethereum-concerned products having garnered a net of $943 million for the year to date as investors diversified away from bitcoin. “Since mid-May, as negative sentiment has remained prevalent, net weekly outflows now total $313 million, representing 0.8% of total assets under management (AUM)”, according to CoinShares.

Comparing Ethereum’s Previous Cycle to its Recent Cycle

Although both of the upward movements have continued for a similar amount of time, the 2020 movement had a much smaller magnitude than the movement after it.

First bullish cycle

The two movements that completed the first market cycle for Ethereum began in October 2015. During that time, the token was trading at a low of $0.42. The upward movement continued for 812 days, then leading to an all-time high price of $1,420 that was reached in Janurary 2018. ETH increased by a massive 335,191% throughout this time. Afterward, a corrective period happend for 329 days which resorted in a low of $81.19. on December 2018. Since then, Ethereum has been on an upward trend. 

Current ETH movement

Ethereum began an upward movement that lasted for 882 days After the December 2018 low. In April 2021 It led to an all-time high cost of $4,380. The length of time was close to the preceding bull run of 2015-2018, the rate of increase was significantly smaller. Ethereum increased by 5,314%, which is 60 times less than the magnitude of increase in 2015-2018. If a similar 94% decrease were to follow it would take the price to a low of $260. In addition, if the ratio of length between upward and downward movement remains unchanged, the low would be reached at some point in April 2022. Nevertheless, it is still not certain that the upward movement for Ethereum has ended.

Conclusion

I expect a lot of people to rush to ethereum, and I think ethereum going to make one of the biggest gain we’ve ever seen. Reaching a all time high due to the businesses and the businessman investing in crypto. We are all looking forward to see this big push. I want to know what are your opinions. Don’t forget to follow crypto empire tv for up-to-date news on finance and crypto. check out the video below and comment your opinions.

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