It is planned for next Wednesday (April 14thThe latest platform update Ethereum. Call BerlinThe network update was published on March 8th on the Ethereum Foundation’s official blog.
Four improvements will be implemented in the Ethereum blockchain. The update aims to make the network cheaper and faster by restructuring transaction fees.
Some say this would make Bitcoin “eat the dust”, but is that true?
Bitcoin has a different supply than Ethereum, and both are growing for different reasons.
Bitcoin is supposed to be a Decentralized currency, Ethereum was created to be a A decentralized operating system.
Although Ethereum is faster than Bitcoin in terms of transactions per second, Bitcoin remains digital gold while Ethereum is viewed as silver.
The update is scheduled to take place in block 12244000, which will be mined sometime on April 14th, and it will be possible to monitor the exact time via the website. ethernodes.org.
Modernization of Contador Etherods Berlin
Will Bitcoin Eat the Dust?
If you look at investors, it’s safe to say that one group is betting on Bitcoin as a store of value, while others are betting on Ethereum to consider the platform for the future of technology.
It’s like a group investing “New precious metals from nerds” And the other one you invest in “Google the future.”
In 2021 a Bitcoin is good for value, Leaving $ 29 million At the beginning of the year up $ 60 million right now.
In the meantime, I’ve rated Ethereum 189%, A little more than leave $ 650 With the purpose 2200 dollars This Sunday.
Bitcoin vs. Ethereum 2021 Jan-Mar
When comparing the performance of Bitcoin and Ethereum in one file A year-long hiatus You can see that Ethereum did better, For the past 365 days, the value of the cryptocurrency has been roughly estimated 1200%While Bitcoin is valued 732%.
This is Bitcoin performed 468% less than Ethereum.
From here we can already say that Bitcoin “ate the dust”, right?
Bitcoin vs Ethereum 2021 April 2020 April 2021
Take another look at the same time period, but instead of focusing on it The percentage of profitsFocus on price.
Bitcoin was traded by a year ago US dollars $ 7,438;; Dump of 732% Take the digital currency given above $ 59 million.
At exactly the same time, Ethereum was in circulation $ 170;; With a height 1200% During this period, the digital asset reached the historic mark of $ 2,100.
See the table below:
Bitcoin vs Ethereum in a year
The graph above shows that Bitcoin has practically acquired a space rocket and headed for the moon, while Ethereum, although valued, has become more shy.
From this point of view, would it be better to invest in Bitcoin or Ethereum?
It depends on the amount invested.
If you bought 1 Ethereum for $ 170 a year ago, today you will get 1 Ethereum worth $ 2,100.
Likewise, if you bought 1 Bitcoin for USD 7,438 a year ago. Today, you can sell the same bitcoin for $ 60,000.
However, when the investment is worth less, the results change.
For example, if you bought $ 1,000 in Bitcoin and Ethereum a year ago, you will get it today 0.14 bitcoin e 5.88 ether.
this means $ 8,350 for Bitcoin e Ethereum $ 12,506.
Bitcoin for a $ 1,000 Ethereum investment a year ago.
Each currency was valued for different reasons. While Ethereum has increased due to developer adoption, the decentralized financial system (DeFi (and holdings in the form of non-exchangeable tokens) NFT) has also increased, Bitcoin has been valued due to the increasing institutional acceptance that has invested in the currency as a store of value.
It is illogical to assume that Bitcoin will no longer be introduced and that Ethereum will replace it as it is like you have run out of gold for a computer.
You can also have both.
Berlin, London and Ethereum 2.0
In particular, the Berlin update is part of a more comprehensive development of Ethereum, which will be updated to version 2.0 by the end of 2022.
Four EIP improvements will be implemented in the Wednesday update (14):
- EIP-2929 Increase Some gas costs
- EIP-2565 reduces the cost of precompiling ModExp.
- EIP-2930 contains the transaction type with optional access lists.
- EIP-2718 introduces a new type of transaction.
Ethereum owners, brokers and wallets don’t have to do anything, updates are more aimed at developers.
It is therefore not expected that this particular update will result in Ethereum significantly outperforming Bitcoin, although of course the coin has the potential to rebound.
On the other hand, the update scheduled for July may add value to the asset.
Named B. London, Update being implemented New toll market protocol that standardizes the costs for the entire network. This way, situations like an unbridled increase in the average transaction fee are avoided.
In addition, the update will implement a burning mechanism designed to convert Ethereum’s monetary system into a deflationary system.
Vitalik Buterin, to help fund Ethereum, the prediction network is 100 times faster before upgrading to 2.0.
Hence, Ethereum will receive major updates over the course of 2021 and 2022 that will bring the assets to values never seen before.
Some analysts believe that the digital currency will hit the $ 10,000 per unit level by 2022 when everything is implemented.
The Berlin modernization is only the first step.
Despite the optimism with the network, it cannot be said with certainty that the coin will appreciate much. Ethereum has many competitors and the winds can change.