ETH 2.0 will help Ether outperform Bitcoin, predicts the CEO of Pantera Capital

Amid the upcoming Ethereum London onerous fork, Pantera Capital CEO Dan Morehead predicts that the upcoming improve might help Ether (ETH) overtake Bitcoin (BTC) as the largest cryptocurrency.

As a more recent cryptocurrency, Ether has extra potential than Bitcoin, Morehead informed Reuters Global Markets Forum on Monday, noting that the newest improve to the Ethereum Improvement Proposal (EIP) 1559 will help digital token trading extra like a set asset.

As one of 5 EIPs in the ETH London improve, EIP 1559 represents a preliminary replace of Ethereum’s present payment construction, introducing a minimal payout for sending Ethereum transactions and transferring away from the staking system. Designed to programmatically alter charges in order that customers pay the lowest bid per block, the EIP 1559 improve has the potential to show ether right into a deflationary asset.

“You will see the transition of people who want to store wealth, do it in ether instead of just bitcoin,” predicted Morehead, including that the transition of cryptocurrency to Ethereum 2.0 will considerably cut back the stage of cash. The widespread implementation of Ethereum in decentralized monetary functions will additionally help Ether develop bigger than Bitcoin, he mentioned.

Despite predicting a greater future for Ether, Morehead stays optimistic about Bitcoin’s future progress. The CEO predicts that Bitcoin will trade between $ 80,000 and $ 90,000 by the finish of 2021 and will climb to over $ 120,000 inside a 12 months. Morehead famous that growing mainstream adoption might push Bitcoin costs as excessive as $ 700,000 over the subsequent decade.

Related: Ether price hits 2-week excessive as London onerous fork beneficial properties momentum

Introduced in 2015, Ether is the second most dear cryptocurrency with a market capitalization of $ 290 billion at the time of going to press. Scheduled for Wednesday, Ethereum London is one of the greatest Ethereum upgrades that goals to maneuver its blockchain from proof-of-work to proof-of-stake, that means the community depends closely on Staking.wager moderately than mining . Bitcoin was launched in 2009 and is predicated on the PoW consensus algorithm.

Morehead is not the just one who believes Ethereum might outperform Bitcoin in the future. Mike Novogratz, founder and CEO of the crypto funding agency Galaxy Digital, predicted in late June that ether might “one day become the largest cryptocurrency”.