Why is ETH falling (Why is ETH valuable)?

Why is ETH falling After ETH fell, the price of ETH plummeted.According to Coind

Why is ETH falling (Why is ETH valuable)?

Why is ETH falling After ETH fell, the price of ETH plummeted.

According to Coindesk, “since January 19, users holding 100-10,000 ETH have started to sell their tokens. This means they may have sold all their funds.” According to data from Messari, a cryptocurrency market data platform, the average daily trading volume of the Ethereum network (i.e., per minute) has reached a historical high of about $42,000, while the average daily activity of the Ethereum blockchain is only 3,000 to 4,000 transactions. In addition, Ethereum miners are mining ETH every day.

Currently, the number of active addresses on Ethereum exceeds 10 million. Despite the recent sharp drop in ETH price, there are still about 300 active users holding this asset. “What we see is one of the most popular DeFi protocols on Ethereum, which is constantly evolving-from centralized exchanges, stablecoins, and decentralized financial services to decentralized lending protocols, etc.”

Although these indicators are not always accurate, as many analysts have also made reverse bets on these indicators: “When ETH prices rise, some people use ETH as a speculative tool to buy ETH, or view ETH as a venture investment. But if this situation continues, I may find that over time, ETH will become more and more boring.”

The original article is from zycrypto, translated by the BluemountainLabs team. English copyright belongs to the original author. For Chinese reprint, please contact the editor.

Why is ETH valuable

Ethereum founder Vitalik Buterin stated on Twitter, why is ETH valuable? Because he believes ETH is a better currency than Bitcoin. If calculated based on the current price, it is worth about $60,000. And according to the current price of ETH, its market value is about 1 billion dollars (note: assuming ETH halves every four years).

So why buy it? Because it is a token generated based on an algorithm in the network, and this number will grow over time, so when you want to sell it, you need to buy something else.

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