Bitcoin (BTC) has been outperforming Ether (ETH) in the past several days as BTC surged above $50,000 for the first time in history. Meanwhile, one popular cryptocurrency trader explains that this is “simple math” given the growing institutional demand for BTC.
BTC vs. ETH (orange) performance in February. Source: Tradingview
While ETH is beating BTC in USD terms year-to-date, Bitcoin is gaining steam in February, up 60% compared to Ether’s 50%.
Ether did rally by roughly 6% over the last 24 hours as Grayscale added 20,000 ETH to its Ethereum Trust. However, Grayscale’s BTC stash is worth $34 billion, which dwarfs its ETH holdings of $5.8 billion.
Grayscale ETH Trust flows. Source: Bybt.com More institutional demand for Bitcoin vs. Ether
Meanwhile, a pseudonymous trader known as Bitcoin Jack noted that despite these latest ETH inflows, one single entity, namely MicroStrategy, is adding 20,000 BTC worth almost $1 billion to its balance sheet.
According to data compiled by Bitcointreasuries, companies are currently