We never hesitated to keep ETH to account as the second largest asset in crypto and to the Intuition DEFI gateway for traditional investors. But traditional adoption requires a history of growth, and so far this year, ETH is (in a good place) not to be directed.
ETH is in 16th place in the performance ranking of Coindesk 20 YTD, down 53%. To return per year, the figures are similar: 15th place and decrease of 50%. Its market capitalization has decreased so much compared to XRP that the two should be capped in the next reconstruction of Coindesk 20, a first.
ETH’s misfortunes are a new one for the industry, but for us as index and products manufacturers for “5% -ers”, it raises the question: ET HA is still special? A distinguished provenance can only take you so far. ETH continues to dominate its categories on chain (even before adding L2) and is undoubtedly the second best brand of crypto. There are even thoughtful ideas on ETH’s final state as an essential support component of our future blockchain; We hear expressions like: “Ethereum will be the DEFI exchange center.”
But the consumer adoption requires a history of growth.
We have observed in recent weeks that Bitcoin has shown impressive resilience in fragile world markets. Last week was no exception, and as we pointed out last week, the expectations of higher inflation – now echo by the president of the Fed Powell – could help support the movement in Bitcoin.
But the dependence of the cryptography market with regard to Bitcoin to direct higher prices is that which we hope that the class of digital assets will exceed. ETH can reaffirm a management position, as he briefly did in the weeks following the US elections. Otherwise, Coindesk 20 investors have an exposure to a large part of ETH competition.
