Ethereum (ETH) and Bitcoin (BTC) are two of the most popular cryptocurrencies in the world. The demand for them is constantly increasing because they are essential to the crypto world. This is also the reason why BTC and ETH are great investment tools.
Interesting Facts About BTC
Here are some interesting facts about Bitcoin:
- The last bitcoin will be mined in 2140.
- More than half of the bitcoins already mined today are owned by 1,000 people, while most Bitcoin wallets (~90%) hold no more than 0.1 BTC.
- Only one-third of mined coins are actively involved in circulation. The rest are inactive. Experts assume that the majority of inactive bitcoins are simply lost or forgotten by their users.
- Most bitcoin exchange transactions occur for yuan.
Now let’s discuss what affects Bitcoin’s price.
Which Factors Affect Bitcoin’s Value?
There are still people that consider Bitcoin and other cryptocurrencies a bubble. They say that it isn’t backed by anything and doesn’t have value. But they are wrong. The main factors that affect Bitcoin’s value:
- The supply and demand for Bitcoin. The number of coins is limited to 21 million. It is impossible to get more than 21 million coins because there is no such option in the Bitcoin code. Consequently, the larger demand for BTC and the smaller the supply, the higher is its price. If fiat currencies can be issued in unlimited amounts, BTC cannot.
- The cost of mining bitcoins. Mining is an essential process in the cryptocurrency world. To create new bitcoins, miners need to use electricity and special mining farms. Consequently, the more mining tools cost and the more electricity cost, the higher the price of BTC is.
- The number and strength of competitive cryptocurrencies and the number of currency exchanges. Today crypto infrastructure is poorly developed. For example, there are not so many businesses that accept BTC. The more people will use crypto, the higher their price will be because of limited supply.
- Regulations and legal issues. Today few states regulate the crypto industry. In most countries, there is no developed regulatory network. The more attention countries will pay to the crypto industry, the faster it will evolve. Consequently, the greater demand and the greater the BTC price will be.
The attention to BTC is constantly increasing. This is the reason why there is no doubt its price will increase further.
Interesting Facts About ETH
Here are some interesting facts about Ethereum:
- Hayao Miyazaki may have inspired Vitaly Buterin with the cartoon Laputa Castle In The Sky. There was a crystal Aetherium that allowed to extract energy from air.
- Ether became the first coin with infinite emission.
- In late June 2017, rumors of Buterin’s death caused Ethereum’s price to fall from $376 to $250.
- The ICO was in the second half of 2014 and then it attracted 31,591 bitcoins. At that time, it was $18.4 million.
Now let’s discuss the factors that impact Ethereum’s price.
What Affects Ethereum’s Value?
Ethereum is greatly valuable for the crypto world and attention to it only grows. Here are the main factors that affect Ethereum’s value:
- The demand for ETH. Just like with Bitcoin, the bigger the demand, the higher the Ethereum’s price. By the way, the increased adoption of smart contracts hosted on the Ethereum platform and the inflow of new users will increase the demand for ETH further.
- The acceptance of the Ethereum system by more established financial institutions. Ethereum is a great ecosystem that is used by thousands of cryptocurrencies and crypto projects. But it isn’t used by established financial institutions. The more of them will use Ethereum, the higher its price will be.
- The degree of mining profitability. Today a lot of worldwide miners choose to mine ether rather than other cryptocurrencies. Because of this, the profitability of mining gradually decreases.
- Improvements in the Ethereum system in the future. Ethereum is a great ecosystem that can be the foundation for all future projects. But this can be achieved solely thanks to technological improvements.
Ethereum’s price grew significantly in 2021. This shows that the project is moving in the right direction.
1 Ethereum to Bitcoin Rate
As you know, the price of cryptocurrencies is very volatile, it is constantly changing. Therefore, the exchange ratio changes as well. As of January 12, 1 ETH equals 0.076 BTC. It was 0.079 BTC on January 1 and 0.088 BTC on December 8, 2021.
Dozens of websites offer ETH to BTC conversion. But by choosing the first one you see on the web, you often get unfavorable terms and risk working with scammers. Therefore, before exchanging 1 ETH to Bitcoin, you should read user reviews. The more positive reviews, the older and more reliable the service is.
To Summarise the Above
The price of cryptocurrencies is constantly changing. This is what attracts investors to cryptocurrencies, as it allows them to earn quickly. To exchange ETH for BTC, it is better to use reliable crypto exchanges such as Godex.io. This is an anonymous crypto exchange that provides excellent services with minimal fees. Go to https://godex.io/ to exchange any of the 300+ offered coins in a matter of minutes.