Ether market capitalisation has reportedly been witnessing an increase at a greater speed compared to Bitcoin’s (BTC) throughout 2020, emphasizing the relative outperformance of ETH versus BTC during that time.
Specifically, crypto investment manager Pantera Capital, via its most recent Blockchain Letter, has reportedly put Ether’s growth trajectory into visualised charting, showing the ratio of ethereum’s market cap to Bitcoin’s market cap has increased by two times in 2020.
“We think this is the beginning of the market re-rating Ethereum for EIP 1559 and Proof of Stake. These two changes will lead to ethereum being a deflationary asset where each block negative ethereum is issued. This means ETH will be a more deflationary asset than bitcoin.”
The combination of more and more use cases for the DeFi sphere as well as the fast adoption rate reportedly indicate that Ether’s market share will go on with its current growth pattern, relative to Bitcoin’s, Pantera believed.
“We think this is just the beginning,” Head of Pantera, Dan Morehead, reportedly commented via Twitter in reference to Ether’s potential against Bitcoin.
Ether’s value has reportedly experienced a surge of 1,750% within the last 12 months, even while taking into account the most recent market turmoil, associated with Elon Musk’s decision to remove Bitcoin from Tesla’s list of accepted payment options for its automobiles.
Ether market capitalisation reportedly hit its record-breaking high just north of $500 billion earlier this week, helping it secure a spot in the list of international enterprise heavyweights.
The crypto coin reportedly also achieved a three-year high against Bitcoin, contributing to the bullish fervor. As Pantera noted, the developer network now has more value than all major banks, excluding JPMorgan Chase.