Bitcoin And Ripple Continue To Fall While Ethereum Holds Firm
South Korea's proposed ban on cryptocurrency trading has been shaking the digital currency markets with Bitcoin and Ripple taking the brunt of a massive new sell-off. Ethereum, on the other hand, stood firm against the storm and has more or less maintained its value.
Traders and investors have positioned themselves after the South Korean government expressed their desire to take a harder stance on cryptocurrency trading in their country. The authorities said that before they make a decision, they would need "sufficient consultation and coordination of opinions," a vague phrase with no real time frame.
Needless to say, this caused a massive sell-off and after a series of raids by the South Korean government on cryptocurrency exchanges, the top three crypto-coins Bitcoin, Ethereum, and Ripple's XRP all took a plunge. All three have since recovered but the new series of sell-offs placed Ethereum in a position where it overtook Bitcoin in terms of overall transactions.
On Monday alone, Ethereum has processed over $29 billion in transactions, more than the entire value processed combined by six other major competitors. While increased transaction costs of Bitcoin and generally lower price of Ethereum played a part on its recent success, it's the cryptocurrency's general stability that made it a favorable mode of transaction for many consumers and merchants.
Recently, Bitcoin once again surged in price while XRP decreased in value. On the other hand, Ethereum has been trading flat with its value fluctuating at only 0.29 percent – a rarity in the inherently volatile world of cryptocurrencies.
Still, it's a long way before Ethereum can usurp Bitcoin's dominance of the market with the latter commanding a market cap of over $200 billion. However, as many more users trade in their Bitcoins in exchange for Ethereum, it's very likely that the status quo will be broken in the near future.
