ETH vs BTC: Which Asset Will Stand the Test of Time?

BTC is hard money and resistant to change by design. ETH is the means to transact and is central to the security model of the most dominant smart contract network. Therefore, comparing ETH vs BTC is rather tricky! 

What to Expect from Ethereum in the Future?

Ethereum is part way through a multiyear roadmap. This includes scaling via Layer-2 networks like Polygon and Arbitrum to facilitate greater numbers of low-cost transactions. Since these implementations inherit the main blockchain’s security, ETH will benefit from their success. 

The important update is “The Merge.” Occurring in mid-September 2022, the transition to PoS will drastically reduce Ethereum’s energy consumption. Critics reason that PoW consumes too much electricity, and addressing this issue may see Ethereum’s public perception improve.

ETH Price Prediction

When predicting future cryptocurrency prices, there are many factors to consider: 

• Future user adoption
• Macroeconomic conditions
• Competition with other blockchains 
• The cyclical nature of crypto markets
• A blockchain’s monetary policy
• Bullish roadmap updates

Short-Term

Short-term, ETH price will likely be dictated by crypto markets’ cyclical natures, the current macroeconomic outlook, and bullish roadmap updates. Coming out of a multiyear bull market and a global pandemic may well exert downward price pressure. Conversely, The Merge appears to be a bullish catalyst. 

Popular ETH price prediction websites (Gov.Capital and WalletInvestor.com) estimate the ETH price to gain between 24% and 27.35% over the next three months. From today’s price, that would put the ETH price between $2,143.49 and $2,201.37.

Long-Term

As for the longer term, factors such as competition, user adoption, and monetary policy play a larger part. The blockchain is already number one for smart contract-based applications, and scaling solutions should encourage further adoption. If users continue to find value in decentralized apps, ETH should do very well. 

One-year ETH price predictions have the number two crypto gaining between 62.4% and 134.43%. That would see ETH trade between $2,806.27 and $4,050.95 by Sept. 2023. 

What to Expect from Bitcoin in the Future?

While Bitcoin has a less exciting roadmap than Ethereum, its value comes from its dependability. Its usage as a hard monetary asset during inflationary years may increase as the public realizes the impact of loose fiscal policy during COVID. As inflationary pressures decimate savings, BTC may benefit. 

Following El Salvador and the Central African Republic, we may also see other nations adopt BTC as legal tender. This, along with future corporate BTC adoption (like that pioneered by Microstrategy in 2020 and 2021), may see BTC price increase. 

Finally, the 2024 Bitcoin halving is a bullish catalyst. Previous halvings have seen the leading crypto go on to return many multiples for investors. If history repeats, 2025 could be a bullish year. 

BTC Price Prediction

BTC’s price over the next 12 months will likely be dictated by the macro environment and the dominant crypto’s public perception. 

Short-Term

Over the next three months, popular price prediction sites estimate that BTC will gain between 22.47% and 24.4%. If such gains materialize, BTC price would trade between $27,194.46 and $27,623.02 before the end of 2022. 

Long-Term

Over the next year, BTC price will likely be driven by the halving and the macro backdrop. Sites like Gov.Capital and WalletInvestor.com estimate the leading crypto to gain between 50.69% and 146.11%. This wide range is likely based on the technical unsurety of the Ethereum Merge and the Bitcoin halving. 

Such gains would see BTC trade between $33,460.71 and $54,648.73 by September 2023. 

Verdict

Comparing ETH to BTC or LTC to XMR is always challenging. However, ETH and BTC seem bullish short and longer term. BTC has fewer moving parts that could break and much less competition as a hard monetary asset. Therefore, it seems the safer bet. However, with the macro backdrop possibly showing the public the value of digital gold and the halving rapidly approaching, BTC could provide investors impressive gains, too.