Ethereum (ETH), dubbed the “leader of all altcoins”, has long borne the burden and pressure to supplant Bitcoin (BTC) as the king of all cryptocurrencies.
To date, he has not succeeded or come close to accomplishing this mission. Even The Merge couldn’t catapult Ethereum to the top and frankly, it wasn’t even able to leave a breach in the wall that was built by Bitcoin to hold its position.
In terms of price, there is a huge gap between the two crypto assets. CoinGecko tracking shows that as of this writing, Bitcoin is trading at $19,003 while Ethereum is at $1,338. Both currencies have seen price declines over the past seven days, by 5.8% and 14.9% respectively.
Trust and hopes misplaced with the merger
Last July, during an interview, Ethereum researcher Vivek Raman expressed his belief that The Merge will allow the altcoin alpha to finally overthrow its biggest hurdle and outperform Bitcoin, becoming the new most important cryptocurrency.
The merger refers to an upgrade that was completed in September that will put Ethereum into a proof-of-stake (PoS) system. It was also supposed to change the monetary policy of the network, making it more environmentally friendly while reducing the supply of ETH.
But since the migration, Ethereum has been unable to respond with a proper bull run. Instead, along with Bitcoin and all other altcoins, it continues to face plummeting prices.
A moment of victory for Ethereum
Although it still fails to reach the same level of importance as Bitcoin, Ethereum had a moment of victory against the king of crypto after The Merge, thanks to a rather strange trend reversal seen in the market. of crypto.
Bitcoin’s trading dominance came to an abrupt end after ETH trading volume spiked and eventually hit an all-time high.
Experts believe, however, that this effect of The Merge to Bitcoin is minimal and that there will be price movements resulting from it, it will be transient. Indeed, moving to a proof-of-stake mechanism has always been part of Ethereum’s plan since day one.
Hiro CEO Alex Miller said Bitcoin has already established itself as the “main asset”, calling crypto “digital gold”. Besides, he believes that Ethereum surpassing its rival in terms of market capitalization remains unlikely to date.
ETH total market cap at $165 billion on the daily chart | Source: TradingView.com Featured image Coinpedia, Chart: TradingView.com
(The analysis represents the author's personal views and should not be construed as investment advice).