Crypto Comparison: Ethereum vs Bitcoin – Which Cryptocurrency to Invest in This Week?

Investors contemplating their next move in the cryptocurrency market may find themselves weighing the pros and cons of Ethereum versus Bitcoin this week. Ethereum has shown signs of increased volatility compared to Bitcoin, prompting some to consider favoring Ethereum over Bitcoin in their investment strategies.

Last week, Ethereum experienced a more significant correction than Bitcoin, indicating higher selling pressure on both cryptocurrencies. Despite Bitcoin grabbing attention as it approached $70,000 but later dropping to around $66,000, Ethereum faced a tougher week with a more substantial correction.

Recent updates suggest that investors might find it beneficial to accumulate Ethereum due to its slightly increased volatility. CoinmarketCap data revealed that Bitcoin’s price dipped after being rejected from the $70,000 zone, currently trading at $66,491 with a market capitalization exceeding $1.31 trillion. In contrast, Ethereum underwent a 3% price correction, trading at $3,325 with a market capitalization over $399 billion.

Insights from QCB Broadcast indicated that Bitcoin’s price decline coincided with the opening of US equities and a significant sell-off of BTC by the US government. On the other hand, Ethereum’s volatility has started to pick up, potentially leading to fluctuations in the upcoming week.

Analyzing Santiment’s data, it was observed that Bitcoin’s Social Dominance remained higher than Ethereum’s, with increased Supply on Exchanges for both cryptocurrencies, signaling investor interest in selling. Bitcoin’s Price Volatility surged, while Ethereum’s dropped, potentially indicating a shift in price action favoring Ethereum.

Technical analysis of BTC and ETH daily charts revealed a bearish crossover in Bitcoin’s MACD and a downtick in its Relative Strength Index (RSI). Ethereum, on the other hand, displayed bullish momentum in its RSI and Chaikin Money Flow (CMF), suggesting a potential bullish trend reversal before Bitcoin.

In conclusion, the cryptocurrency market dynamics this week point towards Ethereum potentially outperforming Bitcoin, with investors advised to keep a close eye on Ethereum’s bullish indicators and Bitcoin’s bearish signals.