The Flippening: Ethereum’s Potential to Outperform Bitcoin in 2024
There has been much debate surrounding the possibility of Ethereum (ETH) surpassing Bitcoin (BTC) in market capitalization, a phenomenon known as “the flippening.” While this forecast has both its supporters and critics, trading firm QCP Capital believes that Ethereum will outperform Bitcoin in terms of price appreciation by 2024.
In a recent market update shared on a Telegram group with 11,000 subscribers, QCP Capital highlighted the positive results of a previous report on ETH paired against BTC. The firm predicts that Ethereum will continue its outperformance due to expectations of an ETH spot ETF approval.
“When ETHBTC traded below 0.05, we mentioned that the cross looked attractive from both a technical perspective and with ETH as a catchup play. ETHBTC has since traded higher to 0.06. We expect ETH to continue outperforming BTC over the medium term as the narrative rotates to potential ETH Spot ETF approvals.” – QCP Capital Broadcast
Could an Ethereum Spot ETF Approval Lead to the Flippening?
The possibility of an Ethereum spot ETF approval causing the flippening gained traction after an interview with Larry Fink, CEO of BlackRock Inc., where he expressed belief in tokenization and predicted SEC approval for an Ethereum spot ETF.
Bitcoin has experienced significant growth since January 2, 2023, increasing by nearly 150% and reaching its current price of $42,418. Rumors and expectations of a Bitcoin spot ETF approval have contributed to this surge in price.
If Ethereum were to experience a similar price action, its value would exceed $6,235. However, even with this increase, its market capitalization would still be approximately $100 billion lower than Bitcoin’s current market cap of $830 billion, making a flippening unlikely.
Despite this, QCP Capital remains optimistic about Ethereum’s medium-term outperformance. The firm believes that ETH presents a better risk-reward opportunity for investors in 2024. However, it is important to exercise caution when investing in this volatile market.
Hot Take: Ethereum on the Rise
The debate surrounding the flippening continues to captivate the cryptocurrency community. While QCP Capital’s prediction of Ethereum outperforming Bitcoin in price appreciation by 2024 may be met with skepticism, it highlights the growing influence and potential of the Ethereum network. As the narrative shifts towards potential ETH spot ETF approvals and increased tokenization, Ethereum’s prominence in the crypto market is likely to strengthen. Whether or not a flippening occurs, Ethereum’s trajectory remains upward, making it an asset worth watching for investors.
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