Bitcoin still at the top

Cryptocurrencies such as Bitcoin (BTC) or Ethereum (ETH) have attracted a lot of attention from traditional investors due to the enormous price increases in recent years. With the increasing interest and understanding regarding cryptocurrencies and blockchain, many experts recognize the potential behind Bitcoin as a digital store of value and future means of payment. The famous crypto news outlet in D.A.CH Bitcoin2Go wrote some interesting researches and forecasts about the leading cryptocurrencies.

However, with this rapid development, other cryptocurrencies such as Ethereum must also be mentioned. The cryptocurrency is currently in second place according to the market capitalization of all cryptocurrencies. Moreover, Ethereum is becoming more and more relevant in the context of a decentralized financial structure. As a result, experts also attribute a high potential to ETH, which is explained in more detail in this Ethereum forecast (ger. Ethereum Prognose) based on fundamental and chart analysis.

Ethereum paves the way to decentralized finance

With Ethereum, it became possible to map smart contracts on the native blockchain. This allows complex functions to be programmed and secured in a decentralized manner on the public blockchain.

This makes it possible, for example, to map the decentralized trading of various cryptocurrencies and other financial products via various smart contracts, which is currently enjoying great popularity. In the meantime, more than USD 3 billion flows daily via decentralized trading platforms.

This is done without central exchanges or other service providers, which usually require verification of the user in advance.

But that is by far not all that is and will be possible with smart contracts on Ethereum. From decentralized loans to patents, all kinds of applications can be programmed on the ETH Blockchain and carried out in a completely decentralized manner.

Due to the security of the Ethereum Blockchain, information and data cannot be manipulated. This is also the reason why Ethereum is often associated with a kind of “world computer”.

There are now over 25 billion US dollars in various cryptocurrencies deposited on decentralized applications of the Ethereum Blockchain. A year ago, this value was just under 700 million US dollars.

At this point, many investors are also wondering how Ripple with XRP fits into this context. Because smart contracts are soon to become possible on XRP as well. All the necessary information about this new development can be found in this Ripple forecast (ger. Ripple Prognose).

Bitcoin still at the top

This sharp increase is not only due to the growing interest in Decentralized Finance (DeFi), but also due to the increase in the price of Bitcoin and Ethereum.

If the various Bitcoin price forecasts are to be believed, BTC could crack USD 100,000 before the end of the year, providing even more liquidity and committed capital to DeFi.

Decentralized Finance is still under the radar, however. Bitcoin is currently getting too much attention. In addition, the various decentralized applications are sometimes complex and take some getting used to for newcomers.

So the potential is not only with Bitcoin itself, but also with other cryptocurrencies and networks that occupy a different niche and will develop there over the next few years. On the other hand, such applications could also eventually find their way to Bitcoin, making use of the largest and most secure blockchain for themselves.

That said, currently DeFi is playing out almost exclusively on ETH. Ethereum will bring big changes with DeFi and may trigger a revolution in the traditional financial market. The age of decentralization has begun.

About RJ Frometa

Head Honcho, Editor in Chief and writer here on VENTS. I don't like walking on the beach, but I love playing the guitar and geeking out about music. I am also a movie maniac and 6 hours sleeper.

Check Also

Signs To Indicate That You Shouldn’t Invest In A Certain Cryptocurrency.

Year after year, developers are launching new cryptocurrencies for investors to buy, sell, or trade. …

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.