- The development of Ethereum 2.0 will be reflected in ETH’s price, causing it to outperform Bitcoin (BTC).
- Against Bitcoin, Litecoin (LTC) is in a downtrend since 2019, but is now showing signs of a trend reversal.
Trader Michaël van de Poppe has released a new video arguing his thesis in favor of Ethereum over Bitcoin. While acknowledging that they are two distinct platforms with their own fundamentals and features, the trader believes that developments in Ethereum will be considerable.
This cryptocurrency is in a transition to a Proof-of-Stake based algorithm and van de Poppe believes investors have a great opportunity that they can leverage in the short term. The trader stated that scalability is Ethereum’s biggest problem.
In recent months, high congestion on the blockchain has pushed up fee pricing. Therefore, many users have migrated to cheaper platforms. The trader added that this has impacted ETH’s price:
Still, the platform that is being built on the most is Ethereum. Through which it is very likely that integrations and improvements will come for Ethereum bringing the price of ETH up significantly. Through which I’m going to assume Ethereum will outperform Bitcoin.
On the price chart for ETH/BTC pair, van de Poppe noted a “significant correction” for the former cryptocurrency in recent weeks. This is due to BTC’s relatively positive performance in recent weeks and the emergence of new alternatives to Ethereum, such as Cardano and Polkadot.
However, he does not rule out ETH “surprising most people” describing its outlook as bullish. ETH’s current price range, hovering in the upper $1,600s, is a strong support. The trader looked at trading volume levels and concluded that ETH could go into an accumulation period. Therefore, it is at an appropriate time to make an entry.
At the time of publication, ETH is trading at $1,693 with slight gains of 1.1% in the last 24 hours. Over the past week, ETH is posting a loss of 6.8%, but still shows a significant gain over the past month with 15.3%. The market capitalization stood at $195 billion.
Outlook for the Litecoin/Bitcoin pair
The trader also analyzed Litecoin‘s performance and stated that the cryptocurrency has potential, but still in a downtrend since 2019. Therefore, he will wait to see more “strength” in the price action. He recommended investors to wait for confirmation that the trend will reverse.
He indicated as a positive sign the increase in LTC trading volume, but this has not yet been reflected in the price. Van de Poppe will wait for a rise in the cryptocurrency price to look for a good position. Litecoin war trading at $182 with again of 2.1% in the last day. On the weekly and monthly charts, LTC persists a correction of 9% and a gain of 1.5% respectively.