Is Ethereum dying? Bitcoin eyes $100,000 while ETH struggles under $3,500
The post Is Ethereum dying? Bitcoin eyes $100,000 while ETH struggles under $3,500 appeared on BitcoinEthereumNews.com.
Ethereum (ETH) lost its three-year support against Bitcoin (BTC) as the most prominent cryptocurrency rallied towards its $100,000 target on Friday, November 22. ETH has faced sticky resistance at $3,500 for nearly four months while competitors hit record highs this cycle. Ethereum loses favour with institutional investors, ETF performance lacklustre Ethereum slipped to a low of 0.03187 against Bitcoin on Friday, November 22. As Bitcoin made its way towards the $100,000 target, Ethereum price dropped under the support level that was maintained for nearly three years since 2021. Ethereum’s decline against Bitcoin is likely a culmination of several factors, including a lack of interest from institutional investors, a steady decline in interest from retail investors, and the shift of capital and attention to Layer 2 and Layer 3 scaling projects, among others. The performance of the Ethereum Spot ETF explains how the altcoin has failed to garner investment from institutions while Bitcoin Spot ETF continues to outperform. Data from Farside Investors UK shows that ETH ETFs have noted net negative flows or outflows for the past six days. In contrast, Bitcoin Spot ETFs continue to attract billions of dollars in institutional fund flows. Ethereum ETF flows | Source: Farside Investors Tuur Demeester, Editor-in-Chief of Adamant Research, told Forbes that Ethereum might be “dying a slow death,” signalling the shift in market dynamics and the slowdown in institutional adoptions. Solana challenges Ethereum’s dominance, on-chain analysis While Ethereum ETF performance struggles, the altcoin faces a challenge from its competitor, Solana (SOL). Solana’s market capitalization gain and price rally pushed SOL to the top four cryptocurrencies, per CoinGecko. Top cryptocurrencies by market capitalization | Source: Coingecko Solana dominates Ethereum in terms of transaction volume across decentralized exchange platforms, DEX activity and protocol fees generated in October 2024 and November 2024. While Ethereum’s price…
Filed under: News - @ November 22, 2024 6:20 pm