FactMosaic logo
CryptoCurrency

Survey Reveals 47% of Investors Predict Ether Will Outperform Bitcoin in the Crypto Market

Fidelity Digital Assets provided an optimistic projection for ETH over the next 12 months, whereas a distinct survey conducted by CryptoVantage revealed that 47% of investors anticipate Ether to "exceed" Bitcoin.
252views

Fidelity Digital Assets provided an optimistic projection for ETH over the next 12 months, whereas a distinct survey conducted by CryptoVantage revealed that 47% of investors anticipate Ether to “exceed” Bitcoin.

On July 18, Fidelity Digital Assets published a “Q2 2023 Signals Report,” stating that Ether has a positive outlook in both the next 12 months and the long term.

Ether has experienced a 62% gain year-to-date, Fidelity Digital Assets does not necessarily expect the short-term bullish trend to persist.

Despite Fidelity Digital Assets’ optimistic long-term perspective on ETH’s price, it is worth examining their analysis in relation to network and market data to determine its accuracy.

Ether to "exceed" Bitcoin.

In addition to technical indicators, several factors underpin Fidelity’s bullish outlook for Ether. These include the network’s higher burn rate compared to coin issuance. The momentum of new addresses being created, and the increasing number of network validators. These elements contribute to Fidelity’s positive stance on Ether’s future prospects.

As per the Fidelity report, the Merge event in September 2022 led to a net decrease of over 700,000 Ether in the overall supply. Furthermore, the report highlights the increasing number of Ethereum addresses engaging in transactions for the first time, which indicates healthy network adoption according to data from Glassnode.

The report also mentions a notable 15% rise in active Ethereum validators during the second quarter.

Anticipation surrounding EIP-1153 is gaining momentum within the Ethereum network. This update, known as the “transient storage opcode,” enhances the efficiency of smart contracts, reduces costs, and strengthens the Ethereum Virtual Machine design. This change is particularly significant for decentralized exchanges (DEXs). DefiLlama data reveals that Ethereum’s dominance in the DEX space declined from 60% to 46% over the span of six months.

The anticipated Dencun upgrade is expected to result in reduced transaction costs within the Ethereum network.

59 Comments

Leave a Response