Why Ethereum is Set to Become the Main Asset for Investors in 2021 After Hitting a New ATH of 1,475 USD
January 25, 2021 1:39 PM
With all bitcoin parabolic rise and jump to a new all time high of $40,000, the market is beginning to realize Ethereum's potential as it greatly exceeds Bitcoin, and the community is beginning to understand the value of Ether.
Increased interest in cryptocurrencies from big capital, banks and institutional investors shots the global crypto market to over $1T but bitcoin dominance was over 68% as all attention of major players were fixed on bitcoin at that point.
Slow and steady Ether potential is shinning throw for all to see, as it sets a new all time of $1475, let walk you through some facts behind Eth rise. There are very strong reasons to believe that Ether will continue to rise in price in 2021 and bring more profit to investors than the flagship cryptocurrency Bitcoin.
Increase transaction volume equals high adoption rate
More than $1 trillion worth of transactions were recorded on the Ethereum blockchain in 2020 alone. When compared to other payment giants such as PayPal which boasts of over 350mln users and process just slightly over $200mln quarterly. With Ether blockchain generating network fee paid in ETH, bullish trend is like to continue as the numbers of active wallets are on the rise as well
Growth of DeFi Industry
Ethereum still remains the leader of the growing decentralized finance industry (DeFi). decentralized finance which became Highly popular in Q3 of 2020, DeFi lending and staking, yield farming projects continue to grow, attracting new investments from new investors.
The total value locked (TVL) in decentralized finance since the beginning of 2020 has grown up to 3,300%, from $687 million to $23.2 billion. And it is Ethereum that is the main platform for the creation and launch of most new DeFi projects and stablecoins.
The emission of stablecoins is constantly growing, as digital assets backed by the value of less-volatile fiat currencies are a very convenient tool for quick settlements between users, for forming trading pairs on crypto exchanges and for saving capital from high volatility in your crypto wallet.
it looks like other areas of the cryptocurrency industry are in for the same to be noticed as bitcoin, and some of them are directly related to Ethereum. the main advantage of Ethereum lies in the diversity of its technology and its growing popularity among it's community.