IMPORTANT POINTS:
- Ethereum Performance 2023: Ethereum outperforms Bitcoin in H2, growing 58% in H1.
- Bitcoin Dominance Decreases: Bitcoin supremacy declines in H2 2023, giving ground to altcoins, especially Ethereum.
- ETH Price Prediction: Ethereum shows resistance above 1,500, with the potential to break above 2,000 if it maintains its bullish momentum.
Support us with crypto to keep our newspaper alive
Although Ethereum (ETH) took a back seat in the first half of the year, in the second part of 2023 it has managed to outperform Bitcoin (BTC) in terms of price performance. On-chain data shows a positive shift in investor sentiment towards Ethereum.
During the first semester, the value of ETH grew by an impressive 58%, going from 1,200 on the first day of January to 1,900 at the end of June. On the other hand, Bitcoin, with an increase of 83%, outperformed ETH and other major assets in the TradFi markets.
Despite the negative numbers, cryptocurrency performance in the second half of the year favors Ethereum with a decline from -13% to -15%. Will Ethereum be able to maintain this momentum in the coming months?
Bitcoin Sees its Dominance Decline in H2 2023
Bitcoin (BTC.D) supremacy has seen a steady decline recently, evidencing a shift in investor interest towards altcoins. The TradingView chart demonstrates that BTC.D reached a peak of 52% at the end of June 2023.
Since that peak, Bitcoin has lost 3%, standing at 49.28% as of August 24.
The BTC.D Index reflects the proportion of the global cryptocurrency market that Bitcoin represents. A sustained drop in Bitcoin’s dominance signals a shift in the direction of investor capital toward altcoins.
Since Ethereum is the leading altcoin, its price could continue to outpace BTC in the second half if this trend continues.
Ethereum in Investors’ Sights After Market Crashes
After the tumultuous decline in the altcoin market last week, Ethereum is positioned for a possible recovery. According to the daily Relative Strength Index (RSI), ETH’s RSI has breached the 30 threshold, briefly touching 33 on Aug. 24.
The RSI is an instrument that measures the intensity and direction of the price fluctuations of an asset. An RSI above the 30 level indicates growing bullish momentum.
In summary, the current oversold situation of ETH could translate into a bullish reversal in the coming days. Bitcoin’s loss of ground to altcoins puts Ethereum in a prime position to continue to outperform BTC.
ETH Price Predictions: Strength Above 1,500
Ethereum, rapidly gaining investor attention in the second half of the year, appears to be better positioned to withstand market fluctuations.
The In/Out of Money Around Price indicator shows that 5.11 million investors bought 7.04 million ETH at an average price of 1,580. This could provide vital support, especially if investors continue to turn their attention to altcoins.
If the bear market breaks above that level, the Ethereum price could drop below 1,500, a figure not seen since March 2023.
Still, if ETH’s price manages to break above Bitcoin’s, we could see bullish investors retake the 2,000 barrier with a bang.
