Ethereum is the world’s second-largest cryptocurrency, and in terms of returns, it offers more than not just the traditional stock markets but gold as well. It’s also better compared to Bitcoin as far as the potential of returns is concerned. However, over the last few weeks, investors have started pulling out, with outflows worth $1 million being reported. According to reports, most of the investors pulling out re-invested the money into Bitcoin, with the world’s biggest cryptocurrency witnessing inflows worth a whopping $70 million.
While there has been a lot of speculation as to why investors have started taking their money out of Ethereum, no one knows for sure what the reason is. One of the theories is that Ethereum is facing a lot of competition from altcoins, which also work on ‘smart contracts’ – something Ethereum has been famous for a long time.
This recent trend doesn’t indicate any significant change in Ethereum’s fortunes in the times to come. After all, when it comes to smart contracts and blockchain safety, there’s no cryptocurrency that’s better than Ethereum. Sure, Bitcoin’s processing power may be unmatched, but Ethereum provides the most reliable blockchain. The cryptocurrency is also the preferred crypto for NFT transactions.
So, despite seeing some investors pull out, it’s safe to say that Ethereum isn’t going away anytime soon. It’s here to stay, and it’s sure to grow even bigger. As it stands, Ethereum is the only cryptocurrency that comes even close to Bitcoin in terms of market value. Who knows, in the months and years to come, it could very well surpass Bitcoin, despite the recent investor pullout trend.