The second largest cryptocurrency in the world, ETH, currently has many highlights such as ETH 2.0 in brief, an increased acceptance rate and more and more listings by platform. Such impressive milestones have helped the network achieve characteristics that even surpass those of Bitcoin. Some say that ETH is years ahead of Bitcoin in everything but price and reputation.

Will it soon be able to outperform BTC? Nobody can predict exactly. However, one operator is of the opinion that ETH is definitely undervalued compared to the competition.

ETH turns Bitcoin over sooner or later?

Jurrien Timmer, Global Macro Manager at Fidelity Investments, recently commented on the matter. He compares the network development of Bitcoin and Ethereum with charts to illustrate his point of view.

According to Timmer, both networks are growing “steadily”, but Ethereum is growing faster. He commented that this was a battle between scale and scarcity metrics. Obviously, the demand for ETH has skyrocketed over the years thanks to the diverse development of NFT, DeFi, etc.

Curve noDemand from BTC and ETH | The source: Jurrien Timmer

Other reports have confirmed this trend towards BTC. For example, an article published by four Australian researchers states that the Ethereum Improvement Proposal (EIP) upgrade in 1559 made ETH a potentially better store of value than BTC. This is also one of the reasons why investors have such a high demand for ETH.

evaluation

Value of BTC and ETH | The source: Jurrien Timmer

Although the value of ETH does not correspond to BTC (Market Cap / Network Ratio), the operator sees this as a buying opportunity.

“When we compare the valuation of BTC with ETH, we find ETH to be a great bargain, presumably because BTC investors reward their superior scarcity dynamics.”

ETH was worth $ 654 on that day last year. But in just a year, ETH is now trading around $ 4,000 and is up 0.5% in the past 24 hours. Other well-known investors also support ETH, such as CIO and CEO Cathie Wood from Ark Investment Management.

According to a recent analysis by Santiment, the “strong hand” continues to hold the top altcoin despite the painful crypto ecosystem.

???? #EtherThe price of it is ~ $ 3,970 as whale behavior continues to play an important role. Billionaire addresses with 100,000 to 10m $ ETH have $ 5.58 billion of. accumulated $ ETH (1.41 million coins) since October 1st, which has put 2.8% more in their pockets in the last ~ 2.5 months. https://t.co/P5zVQshIhA pic.twitter.com/kZXejrkJLQ

– Santiment (@santimentfeed) December 18, 2021

“The ETH price is ~ $ 3,970, as whale behavior continues to play a role. Billionaire addresses with between 100,000 and 10 million ETH have amassed 5.58 billion ETH (1.41 million coins) since October 1st, which added 2.8% to their pockets ~ 2.5 months ago.

These HODLers seem to be increasingly buying ETH at lower prices. Whether ETH will continue to catch up with BTC will be an interesting story in 2022.

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