News
  • Qadir AK
    author-profile

    Qadir AK right arrow

    Author

    Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

    • author facebook
    • author twitter
    • linkedin

  • 1 minute read

Ethereum News Today: Is ETH a Better Investment Than Bitcoin Right Now?

Story Highlights
  • Ethereum's price has been consolidating in a symmetrical triangular pattern despite its popularity and high trading volume.

  • Ethereum's network faces competition from other chains like Solana and Toncoin.

  • Ethereum's price needs to break above a key resistance level to sustain a bullish trend.

Ethereum (ETH), despite being the most-traded altcoin, hasnโ€™t quite lived up to investors’ hopes recently. While Bitcoin (BTC) surged over 8% in recent days, edging closer to its all-time high (ATH) above $73,000, Ethereumโ€™s price has remained locked in a symmetrical triangle patternโ€”an ongoing trend since the August 5 crypto market crash.

With a market valuation of about $321 billion and an average daily trading volume around $21 billion, Ethereum still shows signs of a potential bullish move in the near term. Ether’s value against Bitcoin has been retesting a critical support trend line, while BTCโ€™s dominance in the market is reaching a resistance level near 60%.

What a peculiar pattern! Can we make any sense of this?

Ether Faces Stiff Competition

Ethereumโ€™s network adoption has faced challenges from fast-rising competitors like Solana (SOL), Toncoin (TON), and Binance Smart Chain (BSC).

Coinpedia recently reported that Solanaโ€™s on-chain activity has been far surpassing Ethereumโ€™s, largely due to Solanaโ€™s growing meme coin ecosystem, which has brought in more users and transactions.

On-chain data reveals that Ethereum is currently seeing lower demand from major investors, or โ€œwhales,โ€ when compared to Bitcoin and other key competitors. For instance, the U.S. spot Ether ETF saw around $7.6 million in inflows on Tuesday, a stark contrast to Bitcoinโ€™s $870 million during the same period.

Analystโ€™s Take: Is Ethereum the Better Buy?

Crypto analyst Alan Santana believes Ethereum is currently a stronger investment option than Bitcoin, citing historical cycles. Santana argues that Bitcoin appears more overbought than Ethereum, suggesting that Ethereum may offer a better risk-to-reward balance.

However, Santana emphasizes that Ethereumโ€™s price needs to consistently close above the $2,800โ€“$2,900 resistance range to confirm a bullish breakout. If Ethereumโ€™s price moves above $2,800 in the coming weeks, the next key target could be its all-time high near $5,000.

Can Ethereum rise from the ashes and reclaim its throne? Share your opinion.

Show More

Related Articles

Back to top button