Since early September, the market has given its most attention to the price of Bitcoin, Ethereum, and top altcoins, and the industry has continued to struggle with intense downward pressure at a time of pressure. Amid all the noise, however, the new Coinmetrics report highlights that the field has recorded a significant turnover recently, with in-chain development looking somewhat forgotten.
According to the report, Ethereum’s 7-day average adjusted transfer value recently surpassed Bitcoin on September 5. On that day, the 7-day average value transferred in the ETH was close to $3.08 billion, compared to Bitcoin’s $ 3.01 billion.
In addition, it turned out that the average value in Ethereum was also higher than that of Bitcoin for the next two days. Although Ethereum exceeded the average value of Bitcoin transferred each day earlier in the year, this was the first time Ethereum had surpassed the 7-day average value of Bitcoin in two years.
One of the main reasons behind this is undoubtedly the impact of Defi applications built on Ethereum. The report said:
“A year that adds fuel to the fire.finance recently launched the yeth vault, which allows users to gain interest from locked ETH. At the time of writing, more than 200,000 ETH were locked in the yeth vault. “
A temporary takeover in 2018; a permanent relationship in 2020?
Now, in 2018, when Ethereum’s 7-day average transfer value surpassed Bitcoin, it was short-lived because it was 1 for cryptocurrencies. it took place towards the back end of the great bull run. There was a lot of FUD and asset movement, and in that period of hype, everything seemed pretty fleeting.
But in 2020, things have changed dramatically, and this time Ethereum can stay ahead in terms of value transferred based. It all depends on how the ecosystem has evolved over the past few years.
The innovation and development surrounding Ethereum over the past 24 months have carried a sense of legitimacy, not deceptive when writing with DeFi, which has emerged as an area with real potential.
To be fair, DeFi is certainly at an early stage, reminiscent of the ICOs of 2017, but in essence, it could be a hugely important tool for the future.
The idea of authorizing loans without the involvement of a central authority, which can be created in seconds, is an attractive concept, and with time and subtlety, it can also become technologically sound.
In practical terms, recent market activity has already shown that it works at a basic level, but there are several illegal projects that have also tarnished the DeFi name. Filtering will come sooner or later.
A future Ethereum based in DeFi will be heaven
Bitcoin will surpass its 7-day average value once again, thanks to Ethereum’s pure dominance in terms of market capitalization, without overtaking ourselves. However, a year or two from now, the DeFi-perfect ecosystem will push Ethereum above Bitcoin and become an enduring reality for both parties.
Bitcoin’s blockchain will house the digital gold narrative and the most expensive cryptocurrency, while Ethereum will likely fulfill the initial goal of digital assets.