Comparing Potential Profits: BTC vs ETH
Bitcoin and Ethereum are by far the most popular cryptocurrency investments globally. Together, they have a market cap of over half a trillion dollars, representing over 50% of the market. But, which one is the better investment in the short, medium, and long term? In this article, we’ll compare the BTC vs ETH networks, features, technology, and token price forecasts to determine which one is a smarter investment.
Side-by-Side on Basic Features
After more than 10 years, there are still no mainstream cryptocurrencies used in everyday life by the majority. So, the value of crypto projects is still judged by project vision, technological potential, and future use cases. Let’s look at how BTC and ETH compare.
Concept and Goal
Bitcoin and Ethereum vary massively in their project goals. Bitcoin has a relatively simple concept and goal: To be the world’s borderless, secure, efficient global cash system. This has evolved more recently to include being a digital “store of value,” which is great for investors.
Ethereum, on the other hand, is much more ambitious. It aims to create a “new internet” that’s decentralized, censorship-resistant, open, and secure. If this goal is achieved, ETH investors will be rewarded.
Speed and Throughput
The core crypto network speed metric is transactions per second (TPS). Bitcoin has a TPS of about 7. However, secondary solutions like the Bitcoin Lightning Network can boost this up to 1 million TPS. Ethereum, after its Ethereum 2.0 upgrade, will theoretically be able to reach 100,000 transactions per second.
Both networks have struggled with speed and throughput in the past, which has limited investment potential and performance. But, if these new theoretical limits are achieved, they will scale well and reward investors.
Use Cases
Bitcoin’s core use cases:
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- Efficient digital payments
- Private (or semi-private) transactions
- Digital store of value
Ethereum’s core use cases:
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- Efficient digital payments
- Decentralized finance applications (DeFi)
- Creating and hosting Non-Fungible Tokens (NFTs)
- Launching ICOs (Initial Coin Offerings)
- Hosting Decentralized autonomous organizations (DAOs)
Ethereum has a much wider list of potential use cases than Bitcoin. But, that doesn’t necessarily mean it’s a better investment. Ethereum has a lot more competition in its space than Bitcoin.
BTC vs ETH: Price Performance
BTC and ETH have performed similarly in 2021 and 2022. BTC reached a high of $67K in November 2021 and hit a low of $18.4K in September 2022. ETH reached a high of $4.8K in November 2021 and hit a low of just below $1k in June 2022.
The main difference has been their price performance in the second half of 2022. Bitcoin has remained flat, with no big changes helping it gain momentum. ETH, however, has a release of Ethereum 2.0, which is welcome news to the market and leads to major price gains.
Price Forecasts
Here are Bitcoin and Ethereum price forecasts from multiple experts.
2022
| Bitcoin 2022 Forecast | Ethereum 2022 Forecast | |
| PricePrediction.net | $23,313 | $1,627.90 |
| DigitalCoinPrice | $25,479 | $1,761 |
| Gov Capital | $26,378 | $1,755 |
2025
| Bitcoin 2025 Forecast | Ethereum 2025 Forecast | |
| PricePrediction.net | $73,610 | $4,665 |
| DigitalCoinPrice | $76,787 | $5,396 |
| Gov Capital | $145,081 | $10,558 |
2027
| Bitcoin 2027 Forecast | Ethereum 2027 Forecast | |
| PricePrediction.net | $148,042 | $9,383 |
| DigitalCoinPrice | $92,542 | $6,752 |
| Gov Capital | $230,430 | $17,153 |
As you can see, strong price increases are predicted for both assets, but they are roughly in line with, neither gaining significantly more than the other.
Which One Should You Invest In?
Bitcoin and Ethereum both dominate the crypto market, but they are very different projects. Bitcoin has a less ambitious vision, but Ethereum has more competition. Summarizing our analysis, neither project is an obviously better investment. So, the wisest investment strategy is to invest in both at roughly equal values. Anonymous exchanges like Godex allow you to acquire BTC and ETH without giving up your privacy.
