According to recent research from CME Group, movements in the tech-heavy Nasdaq 100 are likely to have a greater impact on ethereum prices than Bitcoin prices.
As ETH beats BTC, “ETHBTC tends to increase on days when tech shares are up,” CME senior economist and government director Erik Norland stated in the research.
Norland pointed to the practical application of the ethereum sensible contract community in identifying that the difference between ethereum and bitcoin may be characterised by how ethereum and bitcoin are equipped to the market after which they are employed.
However, Bitcoin is largely utilized as an “extremely unstable” store of value and a protection against the devaluation of fiat currencies.
Despite the huge value swings that both Bitcoin and Ethereum are known for, the ratio between the two has been relatively stable over the past year compared to daily volatility of approximately 30%, the paper stated.
In comparison, the price of ethereum is up 59% while the price of bitcoin is up 42%.
