Altcoin
Ethereum loses its grip on stablecoins: Tron triumphs
Ethereum is close to losing its stablecoin dominance, with Tron accounting for over 55% of stablecoin volumes and 89% of stablecoin transaction counts. Furthermore, the price of Ethereum against Bitcoin recently reached its lowest level since February 2021, falling to 0.046. After “The Merge” in September 2022, ETH/BTC fell by 45%.
Ether price continues to bleed against Bitcoin. Is the “tipper” dream over? The dream of Ethereum surpassing Bitcoin’s market capitalization, known as “the Flippening,” seems further away than ever. ETH/BTC recently hit its lowest point since February 2021, falling to 0.046. Since “The Merge” in September 2022, ETH/BTC is down 45%.
Rumors spread: is the “tipper” dream over? Observers have pointed out that ETH mainnet activity has been quiet, with transaction fees at multi-year lows, primarily due to increased Layer 2 activity. Critics fear that L-2s, be they sidechains or rollups, may face difficulties under regulatory pressure, particularly regarding privacy services.
However, some are optimistic and believe in the potential of regulatory progress and Ethereum’s strong position in stablecoin issuance, indicating that positive legislation could benefit ETH/BTC. They see Ethereum as crucial to strengthening the US dollar’s presence in the cryptocurrency world. They suggest that regulatory clarity and ETF approvals could lead ET higher prices, although a rejection could cause a short-term decline before a rebound.
Ethereum: Navigating Evolving Trends
Echoing a similar sentiment is BitBull Capital’s Joe DiPasquale, who cited historical trends where bitcoin initially grows faster after a market crash, but ETH and other altcoins catch up and often outperform in subsequent years.
Meanwhile, Ethereum’s fate is about to change as we await the SEC’s verdict. While the regulator’s decision could have a potential trickle-down effect on the cryptocurrency market overall, there is discussion as to whether the current chairman of the U.S. Securities and Exchange Commission [SEC]they may have difficulty classifying the leading altcoin as a security using the Howey test.