Ether’s Daily Trading Volume Eclipses that of Bitcoin
Following Bitcoin’s struggles this week, Ethereum has seen a surge of demand, with Ether’s 24-hour trading volumes outpacing BTC by a considerable margin. Nevertheless, there is a lot more to go before the transaction volume doubles that of Bitcoin, as certain ETH advocates stated.
On May 25, a snapshot of CoinGecko data went viral on Crypto Twitter, revealing that Ether’s daily volume had reached $115 billion, while Bitcoin’s was hovering about $53 billion.
Bobby Ong, CoinGecko’s co-founder and COO, disclosed that the information in the snapshot was incorrect due to an API bug or wash-trading, culminating in exaggerated ETH volumes published by the EXX exchange. Coingecko has since disconnected its data feed from EXX, according to Ong.
According to the website, Ether has produced 20% more value than Bitcoin in the last 24 hours, with approximately $60 billion traded versus $50.2 billion for Bitcoin. For the last seven days, CoinGecko’s Bitcoin section has received around 75 percent more visitors than its Ethereum section, but the difference has narrowed substantially in the last 24 hours. According to Ong:
“In the past 24 hours, our Bitcoin page received about 60% more traffic compared to Ethereum. When it comes to search queries, Bitcoin received only about 7% more queries compared to Ethereum.”
The increased trading activity and participation has also culminated with Grayscale’s Ethereum Trust (ETHE) seeing its advantage over spot Ether prices rise to 11%. Since March, the company’s Bitcoin Trust has been trading at a loss.
According to the results, some organizations have shifted their attention away from Bitcoin and toward Ethereum. Only days after parts of a classified Goldman Sachs paper showed the multinational investment bank thinks Ether has a “high risk of overtaking Bitcoin as a leading store of value,” Ethereum’s volume spiked to surpass Bitcoin.
macro Market structure on $ETH is more bullish than BTC too
Look at Goldman’s comments as well as other institutional investors, you can see where the money is flowing https://t.co/v7vZoWNkSk
— Pentoshi 🐧wont DM you (@Pentosh1) May 25, 2021
“A major argument in favor of bitcoin as a SoV is its limited supply. But demand, not scarcity, drives the success of stores of value” pic.twitter.com/G4zgZAhj30
— SantΞago R Santos (@santiagoroel) May 22, 2021
The study cited Ethereum’s domination of Bitcoin in terms of overall transaction volume, as well as the growing digital finance and nonfungible token communities.