Ethereum market dominance shows why Ethereum is better than Bitcoin

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Ethereum market dominance shows why Ethereum is better than Bitcoin

The second largest criptocurrency by market cap has gone up 61% againstBitcoin since June, with the second largest by market cap ahead of The Merge in September.

The price of ether has gone up since 2018 and the chart shows its value againstBitcoin. ETH has passed the 0.077 BTC level that has not been seen since January 2022 and is now just 12% off a 4 year high.

The hopes of a Flippening wherebyEthereum surpassesBitcoin in market cap may be revived by the bullish sentiment.

To achieve roughly $3,750, Ethereum would need to increase by an additional 100%. This price target is only 23% less than the $4,800 level it hit in November 2021, and it is still 23% less than its historical all-time high of $4,800.

Since February 2018, ether has struggled to regain its 0.1 BTC since reaching a peak of 0.15 BTC. The market favors the smart contract-enabledBitcoin overBitcoin, at least in the short term, after seeing the upcoming merger become more than a pipedream.

The chart shows the price of ether against the US Dollar andBitcoin. It is clear that ether is at a higher rate againstBitcoin than against the dollar, indicating a strong position in the broader market.

The market dominance ofEthereum is also rising compared toBitcoin. The chart from Glassnode shows the strength of the overall market dominance of ether, which is currently at its highest since December 2021.

The number of active addresses and number of transactions is a key measure of ether's dominance in other metrics, such as the number of active addresses and number of transactions. The two metrics started soaring in July, withEthereum now recording more than 100 k more active addresses than its rivalBitcoin.

The resurgence ofEthereum may be short-lived, according to a key indicator. The amount of ether held on exchanges has risen over the past several months, while the value ofBitcoin has declined significantly. The rise in ether dominance againstBitcoin may indicate that investors are looking for a long-term hold rather than speculation on The Merge.

The strike prices of the ether options with out-of-the-money calls have been receiving huge open interest, according to another chart. Strike prices with high volume go as high as $10,000 for ETH, which would increase 455% from the current price. These calls are likely to be used as part of a more complex trading strategy whereby the trader shorts or buys puts at a lower strike price to minimize risk.

The reality is thatEthereum is better than Bitcoin at the moment. Active addresses, as well as on-chain data, indicate that this plays out with users interacting with the network rather than simply HODLing.

The increasing level of ether on exchanges tempers this sentiment slightly, but an increase in the volume of coins held on exchanges isn't necessarily a perfect indicator of bearish sentiment.

There is only one month left before we find out if The Merge is the catalyst for the eventual flip ofBitcoin.