Ethereum vs Bitcoin – Why Ethereum could rise in 2026?

In the years 2018 and 2021, Ethereum (ETH) was expected to diminish or minimize the gap with Bitcoin (BTC) because ETH was seeing dominance in the market. The dominance was such that individuals started to believe that Ethereum would certainly overtake BTC.

However, the pace at which Bitcoin soared in 2025 was a game-changer. Due to this, the gap between Bitcoin and other cryptocurrencies grew even wider.

Taking a look at the past, we were able to figure out that at a certain point, BTC was accountable for more than 60% of the crypto market. On the other hand, it fell to less than 8% when it comes to Ethereum’s share. Due to the increased demand of BTC in various sectors such as government, corporate, and institutional, we were able to witness an increase in its dominance. This, in some way, caused it to decouple from the rest of the market.

How could Ethereum’s smart contract lead the market?

To understand this, we have to look at the background details. In the past, ETH was designed in the form of a “programmable cryptocurrency.” We also know the fact that it was the first to introduce smart contracts in the market. By smart contracts, we are referring to the tiny pieces of self-executing code that are present on the blockchain. Another important factor to note here is that around 60% of the funds that are locked up in the DeFi are present on the Ethereum ecosystem, which serves as one of the advantages.

However, looking at its disadvantages, we get to find out that Ethereum is slower and less scalable than other blockchains in the crypto market. At times, it had to go through some major upgrades while ensuring that the engine kept running. Besides that, it also relies heavily on the layer 2 blockchain, which means all the transactions are carried out off chain to ensure efficiency.

Find out why ETH could rise in 2026

There are several important factors that hint towards the fact that Ethereum could grow or see a significant rise in 2026. It is expected that it would not only see a growth in its usage, but we may also get to witness an increase in corporate and institutional treasury buying ETH. Here are the three main factors that could lead to the growth of ETH this year:

  • Adoption: Crypto traders are inclined towards real-world tokenization as well as Stablecoin legislation. This simply hints towards the fact that the blockchain industry could already be there on the verge of visible change. We also cannot ignore the fact that Nasdaq has submitted a proposal for tokenized security trading.
  • Staking: Unlike other popular crypto assets, Ethereum is a staking crypto, which hints towards the fact that investors can easily earn rewards by staking their crypto holdings, which means locking up their desired amount of crypto. However, when it comes to spot Ethereum ETFs, they do not pay any staking rewards. In 2026, this is likely to change because we know that BlackRock has put up an SEC filing for a staked Ethereum ETF in December.
  • Layer 2s: Besides adoption and staking, one of the most notable features of ETH is its “adaptability.” This year, we can expect mixed solutions, such as technical, economic, and community-led solutions, to address the imbalance that we have seen in the present layer 2 value.

Final Thoughts: Should you invest in Ethereum right now?

If you are considering buying stocks in Ethereum in 2026, you may want to know that the team of Ethereum may not be in the list of the top 10 stocks or cryptocurrencies to buy in 2026. However, after a thoughtful analysis, we could expect that it could rise in terms of value. You can also conduct your own research instead of relying on the discussions made above and find out which crypto you should invest in 2026.

FAQs:

Will ETH outperform BTC in 2026?

Yes, it is expected that ETH will outperform BTC this year. However, it is not guaranteed. You may expect ETH to grow, but it is not guaranteed that its price will compete with BTC.

Which crypto will explode in 2026?

The three major crypto assets that are expected to grow or, we can say, explore in 2026 are Bitcoin, Ethereum, and XRP.

How much will 1 ETH be worth in 2030?

If we consider ETH to grow around 70% of the market among the smart contract protocol, then we can consider its token price to go to $11.8k.

Who is Ethereum’s biggest competitor?

Some of the biggest competitors of Ethereum could be Binance Smart Chain (BNB), Cardano (ADA), Solana (SOL), Polkadot (DOT), Avalanche (AVAX), C+ Charge (CCHG), Algorand (ALGO), and Chainlink.

Jack Martin
Jack Martin

As the founder of AllYourCoin.com and a crypto enthusiast, Jack simplifies complex crypto concepts for beginners. He believes in implementing authority-driven SEO strategies for crypto blogs, exchanges, and blockchain startups while focusing on presenting complicated topics in a simpler way. His mission is to make cryptocurrency education accessible to all while assisting Web3 brands to increase visibility, traffic, and long-term growth through sustainable SEO practices and his widespread knowledge of this field.

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