Ethereum continues to prove why it is the biggest altcoin in the entire cryptocurrency industry today. Seemingly overnight, the world’s 2nd largest crypto has managed to come just inches away from reaching the $4,000 mark, an achievement that is sure to send shockwaves throughout the entire crypto landscape.
It had been just yesterday that Ethereum had been trading over $3,800, and as of the time of this writing, the price is currently $3,939, which is an 11% increase within a 24-hour time span. The current market cap is $454,258,667,136. Furthermore, Raoul Pal, a former executive at Goldman Sachs, has stated that nearly every investor that he had talked to had said that ETH allocation is taking precedence over that of Bitcoin. BTC has yet to reach the $60,000 mark again, and this has resulted in many investors jumping ship to Ethereum.
Use of gold plummeting as investments in ETH increase
It had been towards the end of last year that Pal had made it known to the public that all of his gold holdings were going to be sold in an effort to invest in both Ethereum as well as the flagship cryptocurrency, Bitcoin. Fast forward to this past January, and Pal had given an update regarding the allocation of his respective cryptocurrency portfolio. He admitted to holding 70% BTC and 30% ETH.
When asked about ETH, he claimed that if we were to observe the DeFi space as a whole right now, then it is easy to see that Ethereum’s practical usage has indeed skyrocketed. NFTs, metaverse worlds and community tokens have all adopted ETH as a price mechanism. He then further explained that while Bitcoin is the base layer, it is ETH, not BTC, that is quickly establishing itself as the digital world’s most popular cryptocurrency. This argument certainly has merit, too, as ETH managed to grow at a 100% YOY, as compared to the 50% experienced by BTC. ETH 2.0 has also played a key role in making this possible, he added.
BTC struggles as ETH rises
Paul had admitted that although he remains bullish on Bitcoin, it would be foolish to deny the superior performance exhibited by ETH as far as asset allocation is concerned. Moreover, an extremely respected commodity trader and classical chartist by the name of Peter L. Brandt had agreed with what Paul had been saying, providing increased leverage to the argument that ETH is the crypto to invest in right now.