Ethereum has shown impressive growth, doubling its value over the past three months, while Bitcoin remains stagnant despite reaching $123,000. New research indicates that this rise is not due to a shift of capital from Bitcoin but is driven by new investments.
Ethereum's Value Surge
Over the past three months, Ethereum has doubled its value and continues to strengthen its market position. This growth is driven by increased investments and sustained interest from institutional investors.
Investment Trends
According to CryptoQuant, the recent surge in Ethereum is due to an influx of new investments rather than a reallocation of funds from Bitcoin. Ethereum ETFs have recorded net inflows for 19 consecutive days, marking the longest streak to date.
Comparison with Bitcoin
Bloomberg's Eric Balchunas draws parallels between Ethereum and breakout tech stocks of the 1990s, highlighting its rapid adoption and network growth. In his view, Ethereum represents an innovation-first expansion, contrasting with Bitcoin's 'digital gold' narrative.
Ethereum's growth and backing from investment funds indicate that interest in altcoins continues to rise, prompting investors to reevaluate their strategies in light of new market conditions.
