Ethereum Price Falls 6%, But Will Tron Win the USDT Race?
- Ethereum price falls after reaching $1.4k
- Craig Wright claims rights to the Bitcoin white paper, rebuffed
- Tron now processes more USDT transactions than Ethereum
- Bitcoin contracts but institutions are relentless
Trending News: ETH/USD Rose to a new all-time high as Tron Processes More USDT Transactions than Ethereum
Earlier this week, the Ethereum price rose above $1.4k, printing a new all-time high.
Ethereum Price Can Reach $10.5k
The surge, which was highly anticipated by the wider investment community, marks temporarily marked the peak for the first smart contracting platform. Although prices have since contracted, dipping to all low as $1.3k, holders are confident of further price gains.
Confirming this skew are comments from a Fundstrat strategist David Girder, who, in a note to investors, said the ETH/USD price could reach $10.5k, a 7.5X rise from spot rates.
In his assessment, the analysts said the project’s fundamentals are solid, even better than Bitcoin’s, citing DeFi and on-chain developments that combine to enhance user experience.
Tron Now Processing More USDT than Ethereum
Amid the revival of Ethereum prices was a notable shift to Tron.
The competing smart contracting platform, like Ethereum, strives to be the home of DeFi. However, the rising Gas fees in Ethereum are forcing some farmers and gamblers to seek alternative chains, and Tron’s features are proving a catcher.
According to Coin Metrics data—a blockchain analytics platform, more USDT transactions are being processed in Tron than Ethereum. While USDT transaction count in Ethereum stagnated at around 1.5 million, those in Tron more than doubled to two million.
Analysts pin this to the latter’s advantages, including its superior scalability leading to low transaction fees; preferable for traders who would like to farm and participate in other on-chain activities like gaming or gambling.
Bitcoin Retraces, Institutions Buying More BTC
The contraction of Bitcoin prices coincides with claims by Craig Wright, a computer scientist who claims to be Satoshi, that he owns the rights to the MIT-licensed Bitcoin White Paper.
As of Jan 21, the white paper is being hosted by Riccardo Spagni.
Outside of this, Bitcoin continues to attract more institutional, high-grade investors. Grayscale continues to purchase more coins.
Ethereum Price Analysis
The ETH/USD price is under pressure, two days after printing a new all-time high.
Down six percent on the last day of trading, the path of least resistance is northwards despite recent blips.
Week-to-date, the ETH price is up nine percent, stretching gains versus Bitcoin to double-digits.
As long as prices remain in range, above the middle BB in the daily chart, buyers are in control. In the 4HR chart, sellers are in charge following the breach of the main support trend line. However, for trend continuation and nullification of the uptrend, ETH/USD bears must confirm today’s losses, pushing prices below $1.1k.
For the risk-averse, a close above $1.4k with high trading volumes exceeding those of Jan 11 will build the base for $1.75k in the medium term.
Conversely, losses below $1.1k with equally high participation will confirm losses of Jan 11 in a move that may see the ETH/USD price crater back to $900 in a retest.
Chart Courtesy of Trading View
Disclosure: Opinions Expressed Are Not Investment Advice. Do Your Research.
Dalmas is a very active cryptocurrency content creator and highly regarded technical analyst. He’s passionate about blockchain technology and the futuristic potential of cryptocurrencies.
