Bitcoin has established itself as one of the top 10 financial assets by market cap, but what about Ethereum? Despite recent retracements in the crypto markets, both Bitcoin and Ethereum have experienced bullish trends, with Bitcoin reaching an all-time high and Ethereum hitting a multi-year peak.
As a result, their market capitalizations have seen significant growth, making them among the largest financial assets in terms of market cap. However, where exactly does Ethereum stand in comparison?
While Bitcoin entered the top 10 financial assets in February, surpassing Warren Buffett’s Berkshire Hathaway, and even surpassed Meta and silver to become the 8th largest asset with a market cap exceeding $1.4 trillion, recent declines have slowed its progress. Currently, Bitcoin is behind the metal in terms of market cap.
During this time, Ethereum has also seen a surge in price, briefly surpassing $4,000. However, market retracements have brought its price down to $3,500 as of now. Additionally, Ethereum’s transition from proof of work to proof of stake could potentially make it a deflationary asset, which means its market cap could decrease even if the price goes up. Currently, Ethereum’s market cap stands at $420 billion, placing it in the top 25 global financial assets ahead of companies like Toyota, Samsung, and Johnson and Johnson.
Regarding future outlook, while Bitcoin’s price has been forecasted to exceed $100,000 and potentially peak between $200,000 and $300,000, Ethereum’s potential remains optimistic as well. Short-term forecasts see Ethereum reaching $5,000 in the coming months and potentially peaking at $10,000. If this were to happen, Ethereum’s market cap would be around $1.2 trillion, potentially placing it among the top 10 largest financial assets.
However, it’s important to note that these are speculative scenarios, and the crypto market is highly volatile. For now, let’s appreciate the fact that both Bitcoin and Ethereum have secured their positions among the top 25 global financial assets.