Amid Bitcoin's impressive growth, Ethereum is showing more modest results. We explore the current dynamics, factors impacting ETH, and year-end forecasts.
Current Dynamics of ETH and BTC
While Bitcoin has grown by 109% this year, Ethereum has risen only by 36%. This passive dynamic for ETH compared to BTC is observed against the backdrop of the overall growth in the cryptocurrency market.
Reasons for Ethereum's Slower Growth
Analysts believe weak fundamentals are affecting Ether. Amberdata director Greg Magadini points out that the weak value proposition of 'sound money' and the use of Ethereum on DeFi layer-2s have driven its price down.
Forecasts for ETH by Year-End
According to Amberdata's research, there is only a 10% chance that ETH will surpass the $4,000 mark by December. Most investors are not expecting significant changes in ETH's price by year-end.
Thus, analysts believe Ethereum's growth will remain less active compared to Bitcoin until the end of the year. Investors are focusing on more rapidly growing assets.
