Will ETH outperform BTC in January?
An analyst predicts that Ether (ETH) may outperform Bitcoin (BTC) in January 2025, which could spark an altcoin run within the Ethereum ecosystem. The recent IRS rules mandate that brokers report digital asset sales, impacting decentralized finance (DeFi) participants significantly. Despite Bitcoin ETFs seeing substantial total inflows of $38.3 billion in 2024, they experienced outflows nearing $1.33 billion near year-end. Meanwhile, ETH's relative strength compared to BTC might lead to more inflows for Ether, whereas Bitcoin could see consolidation. Additionally, MicroStrategy plans to increase its equity and purchase more Bitcoin amidst rising crypto hacks in 2024, which resulted in losses exceeding $2.3 billion. The market showed volatility, with a total market cap of $3.28 trillion and ETH trading at $3,317 against BTC at $94,337. Other significant events include the extradition of Do Kwon and ongoing legal battles regarding lost Bitcoin. Overall, the crypto landscape remains dynamic as analysts and investors eye potential shifts in dominance from Bitcoin to Ethereum in the coming weeks.
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