Since the beginning of 2021, Ethereum has shown linear growth without big volatility. Essentially, ETH is becoming the ideal cryptocurrency for institutionals and whales.
At the beginning of 2021, ETH was worth about $740, now its price is already above $2700. In just 4 months, investors received more than 260% of the profit. There were several local highs, for example, $1324 on January 10; $2025 on February 20; $2566 on April 22. At these peaks, the most cautious investors took profits. Each time, the price highs were connected with the news about the Ethereum upgrade.
This direct relationship proves that ETH is not subject to speculative play and can be a safe haven for investors and a profitable asset. This is why analysts prefer not to speak out about Ethereum. What to say here? It’s better to invest and make money.
There is a lot of information, tips, and forecasts about Bitcoin. But after all, the king of cryptocurrencies since the beginning of the year has given investors only 84% of the profit, if to count according to today’s quotes. And a maximum of 118% profit when the price high was reached. At the beginning of the year, BTC was worth $29,245; on April 14, the all-time high of BTC was updated at a level above $64.8K.
According to leaks from the Chinese cryptocurrency segment, tech companies that invest in cryptocurrencies have been distributing their investments in a proportion of 60% to 40% between BTC and ETH for a long time. However, some of the Chinese companies are already choosing ETH. For example, the software developer Meitu announced in March that it bought cryptocurrencies for $40 million, of which ETH – for $22.1 million.
Why do large investors still invest in BTC? The answer is simple: when it comes to moving large amounts of finance, reliability issues come first. Bitcoin is volatile, but it exists for over 10 years and has never been hacked. Therefore, investing in BTC looks more secure.
Ethereum began to pretend for a noticeable market share of more than 1% since the end of 2015. However, the situation is gradually changing. Bitcoin has been steadily losing market share in recent weeks. Bitcoin Dominance has already dropped to 48%. And the share of ETH has grown above 4% and is likely to continue to grow.
In fact, this means that bitcoin is giving up its status of “digital gold” to Ethereum. However, this process will not go too fast until Ethereum 2.0 is fully launched. It is not known exactly when this will happen. Therefore, it is possible that ETH will be corrected several times. However, in the short term, the growth of ETH is likely to continue. Some events militate in favor of ETH.
Bloomberg reported that the European Investment Bank has issued two-year bonds worth € 100 million on the Ethereum blockchain. The organizers are the banks Goldman Sachs, Banco Santander (Spain), and Societe Generale (France).
Ethereum futures trading volume is increasing on the CME (Chicago Mercantile Exchange). Over the past month, it has more than quadrupled, from about $150 million to over $600 million.
The volume of funds blocked in the Ethеreum 2.0 deposit smart contract exceeded $10 billion. The blocked funds ensure the transition to the Proof-of-Stake consensus algorithm.
This info supports a positive prognosis on ETH in the short term.