CEX.IO company blog | Can Ethereum Beat Bitcoin in Investment Attractiveness?

Yuriy Mazur, Head of Data Analysis at the international crypto broker CEX. IO Broker, shared an expertopinion with the analytical portal BitCryptoNews on whether Ethereum can become more attractive than Bitcoin for investment.

Since the beginning of 2021, Ethereum has demonstratedvery strong growth compared to bitcoin. Yesterday afternoon, Ethereum showed an increase of 76% of its price according to the CEX.IO exchange - despite the fact that Bitcoin showed an increase of only 9%. Since the beginning of 2021, Ethereum has shown an increase of 61% of its price. As of January 28, the asset is trading at $ 1,340.

There are two most obvious reasons for the rapid growth of Ethereum: the rise of the decentralized finance market since the beginning of 2021 and the simultaneous transition of Ethereum to a new blockchain - Beacon Chain.

The rise of DeFi increases the demand for Ethereum as a transaction platform, leading to higher transaction fees and higher block rewards.

Waiting for the transition of ether to Beacon Chain alreadychanged the model for the formation of the value of its tokens, since the possibility of receiving passive income from the Ethereum blockchain using staking is a significant factor in increasing the demand for this asset.

We look forward to further growth in Ethereum over the medium and long term. The goal of the cryptocurrency for 2021 is to reach the $ 2.196 mark.

Read the full material here.

The CEX.IO Broker platform offers ample opportunities for trading Ethereum and other currencies, both crypto and fiat. Come to us, open an account and start trading now!