Cathie Wood, the CEO of ARK Invest, says that Ethereum is more undervalued than Bitcoin. She has always been a big Bitcoin believer and investor, but I guess this is the first time I am hearing from her about Ethereum being undervalued. Though, we should note that Ethereum and Bitcoin have always been considered rivals. And while some think Bitcoin has an edge being the first crypto, ETH believers think it has an edge being technically advanced. So, let’s see what Cathie has to say about it.
Ethereum is undervalued
In the recent CNBC Squawk Box show, Cathie said that Ethereum is more undervalued than Bitcoin. She said that BTC is the largest crypto in the world and, even though undervalued, it has reached a point where it has a good recognition as a monetary system. And as the price of Ethereum is moving up and its use cases are flourishing, we can expect much better price movement.
With DeFi and several other technologies on its, platform Ethereum is slowly seeing adoption from institutional investors. The boost of NFTs has also been a great reason for its use. While Bitcoin is only seen as a store of value, Ethereum is much more than that. It is a digital asset that has much more utility compared to BTC.
Another clear reason for this is the burning of Ethereum tokens that happens with every transaction. While Bitcoin is fixed in supply, Ethereum, on the other hand, has decreasing circulation. More coins are being burned than are being produced. This makes it immensely powerful, and people fail to realize how big it could be in the future.
While Cathie Wood said that Ethereum is more undervalued than Bitcoin, she didn’t ignore BTC. Her stance on the asset remains the same, and she is still fixed on the $500k price target. According to Cathie Wood, the kind of adoption and investment from institutional investors could make it possible for Bitcoin to reach there in the next 5 years.
What are your thoughts as Cathie Wood says that Ethereum is more undervalued than Bitcoin? And do you think that Eth could flip BTC in 2022 or during the next bull run? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
Also Read: Bitcoin may slide to $40k after the recent correction to $45.7k