Ethereum’s new foundation and perspectives to flip Bitcoin, in opinion of Mike McGlone
According to Mike McGloneThe successful transition of the crypto market’s main altcoin to proof-of-stake during the severe global economic crisis, as well as its dominant position in the digital financial revolution, is creating a new foundation for Ethereum. In the eyes of experts, this foundation is now taking shape in the region of $ 1,000.
In the chart above, McGlone demonstrates that Ethereum has the potential to build a foundation around the 2018 peak, when global liquidity was in excess of 14%, as opposed to the current -5%.
As the strategist further notes, the altcoin is now trading at a discount as part of the expanding bull market. The fact that the price is down about 70% from its 2021 peak to date, but still about four times the 2020 average, is typical of such a nascent asset or technology, which is a common condition for a decline, which often follows the high.
What could be stopping Ethereum?
It seems that the chances of Bitcoin’s Ethereum flip were higher before the blockchain’s move to PoS consensus. According to a number of crypto enthusiasts, the Ethereum network has become a more centralized, controlled network with the upgrade, which is also supported by fresh data that already 63% of all ETH validators are behaving in line with the OFAC.
Such decisions, unpopular with true crypto enthusiasts, may not be a deterrent to Ethereum becoming the number one blockchain, but they certainly tip the scales further in Bitcoin’s favor.
