1. Bitcoin and Ethereum have had a similarly positive year-to-date performance, with Bitcoin up 25.5% and Ethereum up 27%. Both have also seen a comparable drawdown from their all-time highs, with Bitcoin down 69.9% and Ethereum down 68.9%.
2. Dragonfly Capital’s Haseeb Qureshi believes Ethereum could replace Bitcoin as the largest cryptocurrency by market cap, citing institutional investors’ need to align with their ESG agenda.
3. Qureshi believes Ethereum is better suited for institutional investors, as it is becoming increasingly difficult to justify Bitcoin as an investment.
The cryptocurrency market has seen a remarkable surge this year, with Bitcoin and Ethereum leading the way. Bitcoin has risen by 25.5% since the beginning of the year, while Ethereum has climbed by 27%. Both have experienced a comparable drawdown from their all-time highs (ATHs), with Bitcoin down 69.9% and Ethereum down 68.9%.
The debate of whether Ethereum could replace Bitcoin as the largest cryptocurrency by market cap has been a hot topic in the space. Haseeb Qureshi, the managing partner of Dragonfly Capital, is a supporter of this theory. In a recent interview, Qureshi expressed that if any cryptocurrency is ever going to reach $1 trillion, it will be Ethereum. He cited institutional investors’ need to align with their Environmental, Social, and Governance (ESG) agenda as the main reason. Qureshi stated that institutional buyers need to be willing to buy the asset in size and that Ethereum is the only game in town when it comes to ESG compliance.
Qureshi also noted that it is becoming increasingly difficult for institutions to justify Bitcoin as an investment. He said that it is something that is getting more and more of a concern for them and they want to invest in crypto, but it has to be compliant with their ESG mandate. Therefore, Ethereum is better suited for institutional investors.
The future of the cryptocurrency market is uncertain and only time will tell if Ethereum can overtake Bitcoin as the largest cryptocurrency by market cap. However, one thing is for sure, Ethereum has a strong case for institutional investors and could be a major player in the space in the coming years.