Ethereum [ETH] has held its second-largest cryptocurrency position and has seen signals over recent weeks that it has been decoupling from the largest asset crypto, Bitcoin (BTC).
At $ 2,674, Ether hit its all time high on 22 April and, although this increase followed a correction, since the beginning of the year the digital asset had still returned 190 percent to its investors and 60 percent to the BTC.
The ETH scored $1.49 million on 23 April, a record high for its daily transaction. In the meantime, as Colin Wu pointed out on Twitter, the daily revenue of Ethereum miners also hit $66.3 million.
By now, BTC had already fallen below $50k and struggled to reverse their losses. This surge which has been shown by the value of Ether could have attracted more users in the Bitcoin market for hedge loss. It was also a sign of Ether’s separation from Bitcoin, as BTC’s losses arose independently of itself and did not reflect them.
Simon Peters, a multi-asset investment platform cryptoasset analyst, discussed disconnection: eToro
“Although the two have been trading in conjunction for many of the last three years, when the cryptoasset market is beginning to mature, investors will examine the broader assets and evaluate which has the best long-term potential.”
Peters noted that investors found an alternative in Ethereum during the current hiccup on the BTC market. He added the following:
“With the valuation of Ether’s dollars significantly below Bitcoin, it appeals to investors who want to own coins that’s far more costly than Bitcoin.”
The attention of several traders and investors, particularly the institutions, has been taken by Ethereum. The recent launch of the Canadian exchange of Ethereum ETF definitely contributed to its value on the spot market, but the recent improvement also showed a tremendous potential for growth. Ether is a better investment for new and small retail investors as the market grows every day.