🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Ethereum Will Outperform Bitcoin in Next Bull Market, Says Analyst

Published 21/12/2023, 20:10
©  Reuters Ethereum Will Outperform Bitcoin in Next Bull Market, Says Analyst
ETH/USD
-
ETH
-

Coin Edition -

  • Lark Davis predicts Ether will outperform Bitcoin in the next bull market.
  • Davis said Ether’s price will be buoyed by a number of factors, including staked Ether.
  • The analyst said an Ethereum spot ETF could be more compelling for investors than a Bitcoin ETF.

Influencer and cryptocurrency analyst Lark Davis expressed his optimism that Ether (ETH), the second-largest digital asset by market cap, will outperform Bitcoin (BTC) in the anticipated bull market.

Davis made this statement in a recent interview where he argued that Ethereum’s performance will be buoyed by a number of factors. “If you were to invest $10,000 in Bitcoin and $10,000 in Ethereum, Ethereum, I believe, will give you a higher gain by the end of the cycle,” Davis remarked.

While noting the significance of an ETF approval and BTC Halving for Bitcoin, Davis said Ethereum has more catalysts to drive higher performance. Firstly, the analyst claimed that Ethereum has “ultrasound money” and “massive deflation”.

Davis further pointed to a significant rise in the amount of Ether being staked. Davis estimates that about 28 million ETH are locked up in staking contracts with over a two-year wait period.

Alongside the “massive supply lock” created by ETH staking, the analyst observed that Ethereum continues to see more demand. According to Davis, most of this demand comes from Ethereum Layer-2 networks, a dynamic which has significantly shrunk the Ether balance on exchanges.

Meanwhile, Davis argued that an Ether spot ETF could be more compelling for investors than a Bitcoin ETF. Making a comparison between the two assets, the analyst said Bitcoin ETF is like holding gold while Ethereum ETF is more like having Apple stock. At present, ETH is exchanging hands at $2,125 apiece, data from CoinMarketCap reveals. Despite a recent soar in altcoin prices, Ethereum’s price continues to lag. The token has shed 2.8% of its value in the past seven days. Conversely, BNB and Solana added 4.67% and 20.80% to their prices, respectively.

The post Ethereum Will Outperform Bitcoin in Next Bull Market, Says Analyst appeared first on Coin Edition.

Read more on Coin Edition

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.