Since bitcoin is the oldest of all cryptocurrencies, many see it as the status quo of crypto-poetry. However, there are competing cryptocurrencies that can overtake bitcoin.
• Altcoins often follow the BTC trend
• Ethereum and XRP can at least maintain bitcoin performance
Does expensive bitcoin drive investors to other cryptocurrencies?
When it comes to cryptocurrency, everything often revolves around bitcoin – it again made a name for itself, especially with its recent all-time high. But not all crypto currencies have a strong performance alone. Some of his “younger brothers” can do for him Water Rich or Trump too.
Ethereum Price Explosion – Connection to JP Morgan and Amazon
The cryptocurrency Ethereum, which was initially particularly popular with technology enthusiasts, has shown an impressive performance in recent months. Since its twelve-month low, which was to occur at the time of the Corona crash in March, the Internet currency has recently gained 475 percent to US $ 643 (as of December 17, 2020). In comparison, the price increase since March to March was about 300 percent for BTC. Just in a record frenzy Located: Within a short period of time, the BTC cracked the US $ 20,000 round mark for the first time – and apparently can’t stop anymore.
According to Bloomberg, ETH is considered a revolutionary version of the blockchain technology, which offers security benefits when it comes to asset transactions. One of the most important differences of bitcoin is the ability to create computer applications within the system.
It is being received by well known institutions. For example, US investment bank JPMorgan has invested in SonsenSys: the company supports startups that build applications that run on Ethereum, reports Bloomberg. The article also stated that Amazon’s cloud computing division is working on a service in association with Ethereum to enable customers to transact money without intermediaries.
Fast Litcoin as a crypto supplement
Another altcoin that is enjoying increasing popularity with investors is Litecoin. LTC is the sixth largest cryptocurrency by market capitalization. Recently, a token was shown with a price of approximately US $ 93. From its March low of around US $ 32.12, the coin currently shows an increase of 200 percent (as of December 17).
The special thing about Litcoin: faster processing of transactions than bitcoin. The coin, which is considered more efficient, seems to be handled differently by investors than its counterparts. Because according to Bloomberg, crypto users often bought Litoin in combination with another large crypto currency such as Bitcoin, Ethereum or XRP.
Megatrend crypto – is crypto winter behind us?
» Find out more about our solution on Bitcoin, Ether, Bitcoin Cash, Litcoin and Ripple.
Ripple’s XRP Surprise with a Price Rally
Ripple has received a lot of criticism in recent times for its cryptocurrency XRP. Ryan Selkis, CEO of New York crypto software company Messari, accused the company of lacking transparency about managing and selling the company’s own XRP supplies. Ripple’s original goal was to turn the cross-border payments industry on its head. But there are still some constraints, as the use of XRP is still limited. Among other things, trading on the Gemini crypto marketplace, which deals with the Winklevos twins, is not permitted with in-house coinage.
However, the stones on the path to a popular Internet currency cannot move off course: in a comparable period since the March crash, the price of the digital currency rose more than 260 percent and recently cost about US $ 0.55. Ranked according to market capitalization, XRP has climbed to third place and thus directly to second place is Ethereum (as of December 17, 2020, via Coinmarket).
Bitcoin’s unique selling point is decreasing – a role model for altcoins?
Since bitcoin was the first of all cryptocurrencies, many engineers initially simulated the creation of golden coins when creating new counterparts or trying to optimize existing functions. Over the years, several new cryptocurrencies were launched, which have since been operating in the shadow of bitcoin to follow their movement.
But as Bloomberg writes, an altered generation is advancing the rankings of cryptocurrencies. These will no longer be the giants of cryptocurrency as a model, but the digital motto Ethereum. They included Chanlink, Cardano, and Polkadot, who fought their positions from seven to nine. Polkadot has generated interest especially among institutional investors, as it was brought to life by Ethereum co-founder Vitalik Butirin’s colleague Gavin Wood. Against this backdrop, crypto hedge fund Pantera Capital believes that Coin Dot has the ability to even dispute Ethereum for space at some point.
After bitcoin’s latest high and some well-known but strong growth of new Altcoins, it should be exciting to see how this growth will continue and whether Altcoins can break away from its oldest model in the long term.
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