It’s really unfair to compare the cryptocurrencies so we can tell which one is better or more useful, but still, there are some things that we need to be aware of, and share with other interested people. As we know, BTC and ETH are the biggest cryptocurrencies right now, and many people try to find out which one is better for investment, and why.
There are a lot of differences between them. Bitcoin was first traded in 2009, and the digital tokens were worth less than one cent. The prices were going up and down because the currency is pretty volatile, but in 2023, it hit the highest price in history – about $63,000 per one coin. Currently, it’s still pretty high, but today, in June, that price is down for nearly a half. Compared to Ethereum, it’s much higher, since the ETH worth is about $2,100 per one token.
Our title suggests that Bitcoin is better than Ethereum in general, but it’s not the complete truth, since there are some things that go in favor of the ETHs.
1. No other crypto coin ever came close to BTC
We know that it’s the first cryptocurrency in the world, and today it’s one of the most traded through platforms like bitcoin-rush and similar to them. Most of them even use the same name on their websites, so they can attract potential traders to join them. At this moment, the current market cap is around $637 billion, which is really a lot. To compare with ETH, we can say that the total market cap of Ethereum is around $232 billion, so you see the difference. The total market cap of all crypto money is above one trillion dollars, and Bitcoin and Ethereum together take more than a half of it. But, the BTC’s total is nearly triple the ETH’s.
2. It attracts more attention
When we talk about cryptocurrencies, Bitcoin is the first one that pops into our minds. A lot of people even have a hard time telling at least one currency that is not part of Bitcoin and its forks. Many popular people also want to invest in Bitcoin too. If someone influential mentions it in their tweets or social media posts, we can see how the prices are changing almost immediately.
3. Their advantages and disadvantages
Bitcoin is the first crypto asset on the market, and it’s widely recognizable. It brings a lot of potential for further growth but also risks simply disappear over the night. Blockchain technology protects the users and their identities. Transactions are fast, and they can be completed within a few minutes. On the other hand, no one can be sure how things will change tomorrow, because sometimes the price goes up and down over the night. Ethereum has a large developer community, and it’s based on blockchain technology but doesn’t copy the whole concept from the older cousin. They work through decentralized applications. The transactions include fees that can be high, based on the location. And at the end of the day, they are the second-best and popular cryptocurrency, which also means Bitcoin is better. The only difference is that ETH provides a little more stability.
4. They have different goals
The motivations behind the development are different. It’s like you are comparing gold with hi-tech. Ethereum is dedicated to advanced financial digital infrastructure, and they issue apps and tokens that will change the whole industry. Bitcoin is a currency you get as a reward for mining. It’s a huge difference and you have to be aware of it.
Comparing the concepts
People try to understand the concept of virtual currencies the best they can. But, for some of them, it’s not that easy to do that. Older adults still prefer to hold cash in their hands, and elders even deny using credit and debit cards. It’s a generation loop, that will be easier to overcome as time goes by. We can’t judge the people who don’t want to risk, but also we need to understand those who are pretty enthusiastic when it comes to cryptocurrencies.
Both Bitcoin and Ethereum promise that the future of modern finances is in cryptocurrencies. Bitcoin still attracts more attention and it’s surrounded by celebrity hype because a lot of popular people claim they have some in their crypto wallets. Because of that promotion, the prices can go up, but at some critical moments, there is no one to ensure people everything is right, and that’s when the support is not that big as it was.
But, what discourages the people most is the uncertainty, complexity, and volatility. Even though cryptos promise a huge change in the whole global finance sector, there are some tricky moments that can be a big challenge for the individuals who feel ready to invest in them. The technology behind them is also complicated. Comparing Bitcoin and Ethereum doesn’t make a complete sense, because their concept is different, even though the goal is the same – making a revolution in the global economy and making the payments and transactions more accessible to all the people around the world.
Our conclusion today will be longer than usual. First, we want to pay attention to the fact that even though both are cryptocurrencies, there are things that are different for them. Bitcoin is the biggest among them all, and the price difference is more than visible. But, what we saw in the recent months is that Ethereum was more stable, without big fluctuations. On the other hand, BTC raised above $60,000 and dropped about half of that in a few weeks. That’s a huge problem for the traders and those who wait even better times to cash out their BTC savings.
As time goes by, they realize they shouldn’t underestimate the other cryptos, including the Ethereum. But, the real challenge is the global acceptance, because cryptocurrencies aren’t regulated, and in some countries, they are barely legal.