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A A recent article in The Block shows that Ethereum’s mining revenues exceeded Bitcoin’s mining revenues during the month of November.
The two major cryptocurrencies are often mentioned side by side, especially when it comes to new investors looking to build a digital currency portfolio. Exposure to Bitcoin is praised for its use as a store of value, while Ethereum, noted by its native monetary ether, is praised for its use case as a blockchain ecosystem that can host other projects. of cryptography.
However, when it came to looking strictly at mining revenue, it was Ethereum that made the most money in November. A recent ban on cryptocurrency miners by China has apparently not prevented income from flowing freely.
“Last month, Bitcoin miners earned $ 1.69 billion, down 2% month-over-month. Ethereum miners, on the other hand, recorded revenues of 1.99 billion dollars – an 11.8% increase from October – and overall earned 1.18 times the income of Bitcoin miners in November, in dollars, â€says The Block.
Ethereum also crowds out Bitcoin in earnings
The disparity between the two main cryptocurrencies was not limited to mining activities alone. Ether was also able to crowd out bitcoin this year in terms of the price increase – ether was up almost 500% from bitcoin’s over 70% gain.
Both cryptocurrencies hit all-time highs just before they collapsed after the Thanksgiving holiday. A flight to the safety of the Omicron variant may have prompted exits from volatile assets like cryptocurrencies.
However, the observed volatility is not as bad as in previous years.
“The data shows that a modest downtrend occurred on December 3-4 as the 8-hour funding rate fell below zero,†says an FX Street article. “A negative fund rate shows that (seller’s) shorts were the ones paying the fees, but the movement faded as soon as BTC and ETH prices rebounded 15% from their lows. “
“The above data may not look encouraging, but given that Bitcoin suffered significant losses this week, the overall market structure has held up well,” the article said.
Nonetheless, the year has been bullish so far for cryptocurrencies in general. As inflation continues to rise and the Federal Reserve begins to raise interest rates, cryptocurrencies will remain in the conversation as a viable hedge against inflation despite recent year-end weakness.
For investors looking to enter the crypto space, there are exchange-traded funds (ETFs) that offer indirect exposure, like blockchain-focused funds. For investors who want more, there are bitcoin futures funds that play on optimism in future price increases.
Another option is to invest through a trust that owns and manages the cryptocurrency, such as the Valkyrie Bitcoin Trust (BTCV). Professionally managed by seasoned asset managers, BTCV invests exclusively in bitcoin and provides investors with a secure, profitable and efficient way to access bitcoin.
For more news, information and strategies, visit the website Encryption string.
Learn more at ETFtrends.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
