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- The introduction of Bitcoin marked the advent of a revolutionary type of digital currency independent of government or corporate influence.
- Over time, the recognition grew that Bitcoin’s foundational innovation—the blockchain—had broader applications.
- Ethereum went beyond using blockchain solely for a decentralized payment system, suggesting its utilization for secure decentralized financial contracts and applications.
Ether (ETH), the inherent digital currency of the Ethereum network, stands as the second most widely embraced digital token, following Bitcoin (BTC). Given its position as the second-largest crypto by market capitalization, it’s inevitable for comparisons between ether and bitcoin to arise.
While both Ether and Bitcoin share certain similarities, such as digital currencies traded through online exchanges and stored in various crypto wallets, they also exhibit notable distinctions. Bitcoin is crafted as an alternative to traditional physical or fiat currencies, whereas Ethereum is specifically designed to facilitate intricate smart contracts and decentralized applications.
What is Bitcoin?
In January 2009, Bitcoin was launched based on a groundbreaking idea outlined in a white paper authored by the mysterious Satoshi Nakamoto. This concept presented Bitcoin as a digital currency devoid of central authority. Rather than physical coins, Bitcoin relies on balances associated with a cryptographically secured public ledger.
While Bitcoin wasn’t the initial attempt at creating such an online currency, it distinguished itself as the most well-known in its early endeavors. Consequently, it has earned recognition as the precursor to nearly all crypto that has surfaced in the past decade.
Over time, the notion of a virtual, decentralized currency has gained acceptance among regulators and governmental bodies. Bitcoin has established its niche and persists alongside the traditional financial system. It remains under consistent scrutiny and debate, yet it is notable.
With Bitcoin halving approaching next year, miners and BTC holders anticipate the market reaction to go bullish. Bitcoin halving is a predetermined event that occurs approximately every four years, reducing the rate at which new bitcoins are created by half. This process is encoded in the Bitcoin protocol to control its inflation and mimic the scarcity of precious metals like gold. The most recent halving took place in May 2020, lowering the reward for miners from 12.5 to 6.25 bitcoins per block. Halving events contribute to Bitcoin’s deflationary nature and often impact its price as the reduced supply can create upward pressure.
Read more: Bitcoin Halving
Key features of Bitcoin
- Decentralized in nature means no central authority or government controls it.
- Transactions made with Bitcoin are recorded in a public ledger called the blockchain. The blockchain is a chain of blocks, each containing a list of transactions. This technology ensures transparency and immutability.
- The limited supply of 21 million bitcoin coins makes it a deflationary asset. This scarcity is built into the system’s code and designed to mimic the scarcity of precious metals like gold.
- Bitcoin is mined through powerful computers that solve complex mathematical problems to validate and add transactions to the blockchain.
Latest News Bitcoin
- BlackRock, the biggest asset manager in the world, has applied to come up with a spot Bitcoin ETF for investors’ exposure to crypto. The company will utilize Coinbase (COIN) custody and spot market data of exchange for its pricing.
— Mike Novogratz (@novogratz) June 16, 2023
- Anticipating the BTC halving event soona approaching, there has been a tremendous surge in Bitcoin price, marking a 124% increase this year. It has set it ahead of stocks, bonds, and commodities, positioning it as the top-performing asset class.
What is Ethereum?
Ethereum, the second-largest crypto, utilizes an open-source blockchain with its native currency, Ether (ETH). It serves as a platform for various crypto, enabling the execution of Decentralized Smart Contracts.
Founded by Vitalik Buterin in 2013, Ethereum secured funding through a public crowdsale in 2014. Undergoing multiple updates, including the recent Ethereum Shanghai upgrade in April 2023, Ethereum aims to be a global hub for decentralized applications (Dapps). It pioneered the term “smart contracts” and allows programmers worldwide to create censorship-resistant, fraud-free software.
Ethereum’s Merge transitioned the Ethereum blockchain from a proof-of-work consensus mechanism to a proof-of-stake consensus mechanism, with the intention of creating a more energy-efficient ETH network with greater scalability capabilities. Beyond that, ethereum is also working on various other projects like ETH ETFs and EVMs to better cater to the developers.
Key features of Ethereum
- Ethereum introduced the concept of smart contracts, self-executing contracts with coded terms, enabling automated and trustless transactions without intermediaries.
- Ethereum is a global platform for decentralized applications, allowing developers to create and deploy applications without centralized control, fostering censorship resistance.
- The EVM enables the execution of smart contracts, providing a secure and isolated environment for decentralized application computation.
- Ethereum’s ERC-20 and ERC-721 standards allow the creation of fungible and non-fungible tokens, enabling a wide range of tokenized assets and applications, including crypto and unique digital assets.
Read More: How to Buy Ethereum (ETH) in India 2023
Bitcoin(BTC) vs Ethereum(ETH): What’s the Difference
|Vitalik Buterin and Gavin Wood
|The first crypto which is mainly used as a digital asset today.
|To host various cryptos and other decentralized applications (DApps)
MarketCap* and Circulation Supply** as of November 2023. Source: CoinMarketCap
Latest News Ethereum
- In his recent post, the Ethereum founder Vitalik Buterin commented that the once-prominent Ethereum layer 2 scaling solution, Plasma, is underrated and that a “significant security upgrade” for chains that would otherwise be validiums.
Exit games for EVM validiums: the return of Plasmahttps://t.co/QgyzXAl0wv
— vitalik.eth (@VitalikButerin) November 14, 2023
- In the hours following its Monday launch, investors swiftly saw trades of over $30 million in ether and stablecoins into Blast, the newest Ethereum layer 2 network.
Once you have access, you can bridge to earn yield (4% for ETH + 5% for stablecoins) and Blast Points ahead of the Mainnet launch in February (2024).
Early access members get more points based on how much they bridge and who they invite.
— Blast (@Blast_L2) November 20, 2023
Additional Read: Ethereum Shanghai Upgrade
BTC vs ETH – Technical Analysis
If we put Bitcoin vs Ethereum head to head – while Ethereum prices have had significant movement and Bitcoin prices have moved in a pretty bullish fashion ever since the beginning of 2023. BTC prices have had a gain of over 122%, while ETH prices is standing at 69% in the same period.
However, from that technical standpoint, both these tokens are very attractive, with Bitcoin waiting for history to repeat itself during its BTC halving period, while Ethereum being the biggest smart contract platform, is aiming to maintain its $2000 mark till the start of December.
Bitcoin Price Prediction
Following the volatile nature of the BTC price till early November, it is now showing some resistance at the $37k level. In the upcoming period, as the BTC halving is upcoming, it is anticipated that the price may resume an upward trajectory, reclaiming $37,500. Towards the middle of December, the BTC price is expected to fluctuate within the range of $37,500 to $37,800.
Additional Read: Bitcoin Price Prediction
Ethereum Price Prediction
Ethereum has experienced a notable increase since October, aligning with the upward momentum of Bitcoin and surpassing its $1800 by month-end. Soon in November, a significant milestone was achieved as the price of Ethereum surged beyond the $2000 mark, representing a pivotal moment in its recent trajectory.
There is a chance of this recovery to continue, if that happens, the ETH price may result in a month-end conclusion around the range of $2100 – $2150.
Additional Read: Ethereum Price Prediction
BTC vs ETH: Which is a Better Buy in 2024?
Both Bitcoin (BTC) and Ethereum (ETH) have been on a roller coaster ride for the year 2023. Although the current Bitcoin price is lower than its ATH for 2022, it has grown by 30% throughout the year. The growth rate for Ethereum has also been marvelous with a rise in prices by 55% despite the massive downturn both these top cryptos have suffered.
Bitcoin is the OG (original gangster) of the crypto space. It is also the most recognized crypto of the lot. Bitcoin, being the leader in this space, has more than 15000 companies accepting it as a mode of payment. Many experts even consider Bitcoin as a deflationary currency, which means that the value of this asset shall only increase over the span of time. This gives Bitcoin an advantage over fiat currencies that are subject to inflation, though note crypto assets are highly volatile.
Ethereum on the other hand is the second in a row to Bitcoin both in terms of technological revolution and market cap. Ethereum blockchain has its own native token called Ether (ETH). A variety of projects can be hosted on Ethereum using its ERC-20 standard. Decentralized finance (DeFi) and non-fungible tokens (NFTs) also use the Ethereum blockchain as their platform. It lets developers across the globe create and run their own blockchain applications. Various ERC-20 tokens such as MATIC, DOT, etc. have created history in the blockchain space.
With the Bitcoin halving approaching by Q2 of 2024 and Ethereum set to walk the steps mentioned by Vitalik, i.e. Merge, Surge, Verge, Purge, and Splurge, 2024 is a journey that the crypto community is eagerly waiting for. Many are anticipating a bull run, while many analysts are also looking forward to the testnets and the mainnet launches to see how the crypto assets will react to the developments underway.
Both of these cryptos have their own advantages. It is completely on the investor’s preference and risk appetite to invest in these cryptos. We always recommend DYOR (do your own research) before investing in any crypto, as they are all subjected to market risks.
Read more: How to buy Bitcoin in India
How to Invest in Bitcoin and Ethereum
Investing in crypto is super simple, safe, and secured with the CoinDCX app. It doesn’t matter whether you want to buy Bitcoin or wish to trade Ethereum price today; we have got you covered.
Here are the 4 simple steps to buy your first BTC or ETH with CoinDCX.
- Sign up on CoinDCX
- Complete your KYC
- Link your bank account and add funds
- Buy Bitcoin (BTC) or Buy Ethereum (ETH)
Both Ethereum and Bitcoin both have performed great in the past. While the Ethereum community is continuously working to improve network scalability and security, Bitcoin's locked potential is being unlocked with new developments and protocols. So, it depends on your preference and risk profile which one is better to invest in. Ethereum network surely overcomes Bitcoin's incapabilities with the introduction of smart contracts. It has opened doors to various blockchain, and DeFi use cases for developers and users. However, Bitcoin is the oldest and largest crypto based on market cap, so it's hard to say that Ethereum might surpass Bitcoin.
Is it better to buy Ethereum or Bitcoin?
Can Ethereum beat Bitcoin?
Both Ethereum and Bitcoin both have performed great in the past. While the Ethereum community is continuously working to improve network scalability and security, Bitcoin's locked potential is being unlocked with new developments and protocols. So, it depends on your preference and risk profile which one is better to invest in.
Ethereum network surely overcomes Bitcoin's incapabilities with the introduction of smart contracts. It has opened doors to various blockchain, and DeFi use cases for developers and users. However, Bitcoin is the oldest and largest crypto based on market cap, so it's hard to say that Ethereum might surpass Bitcoin.
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