Ethereum‘s dominance over Bitcoin has been growing since July 2021, and the Merge occurred at peak dominance over the flagship crypto.
The chart under compares Bitcoin and Ethereum’s market caps towards each other to find out which is dominant, ranging from 2016. The black areas point out the BTC/ETH dominance.
When it exceeds the pink line, it signifies that Ethereum is at its peak, outperforming Bitcoin. If it goes over the inexperienced one, it means the alternative.
Bitcoin maintained its dominance over Ethereum all through 2016. Nonetheless, Ethereum’s bull run in 2017 allowed it to say market dominance. Though Bitcoin was in a position to reclaim dominance for a short time in early 2018, it shortly misplaced it to Ethereum once more.
Bitcoin got here out sturdy within the second half of 2018 and held dominance over Ethereum for 3 years. This timeframe additionally contains the 2018-2021 bear market and demonstrates that Bitcoin didn’t lose its dominance over Ethereum then.
Nonetheless, Ethereum’s dominance began to extend in July 2021. As of the top of July 2022, it exceeded the pink line, indicating that Ethereum reached its peak dominance the Merge approached.
Finest Performing Ethereum
The above chart reveals Ethereum’s month-to-month returns because the starting of 2022. It displays the findings of the primary chart and signifies that Ethereum’s finest efficiency of the 12 months was recorded between July and August.
These months noticed traditionally excessive returns that exceeded over 70% and clawed again the losses after the LUNA collapse.
Nonetheless, the actual query stays if Bitcoin will begin to outperform once more as we head into a worldwide recession and Ethereum loses the narrative of the Merge. Or will Ethereum be capable of preserve its dominance over Bitcoin?