Should You Buy Ethereum While It's Down 45% This Year?
The crypto market hasn't been doing well this year, and Ethereum (CRYPTO: ETH) has had one of the steeper drops. It's down 45% year-to-date at the time of this writing.Even after that decline, Ethereum is still the second-largest cryptocurrency by market cap. The glass-half-full outlook is to look at this as a good buying opportunity. But Ethereum is facing some major headwinds as it looks to rebound.Because Ethereum was the first blockchain with smart contract functionality, it became the default launching pad for blockchain projects. Five years ago, if you wanted to create your own crypto token or mint a non-fungible token (NFT), you were probably going to use Ethereum. It was also home to practically all the major decentralized finance (DeFi) applications. At the end of 2020, Ethereum was responsible for 96% of the total value locked (TVL) into DeFi protocols, according to data from DeFiLlama.Continue reading
The crypto market hasn't been doing well this year, and Ethereum (CRYPTO: ETH) has had one of the steeper drops. It's down 45% year-to-date at the time of this writing.
Even after that decline, Ethereum is still the second-largest cryptocurrency by market cap. The glass-half-full outlook is to look at this as a good buying opportunity. But Ethereum is facing some major headwinds as it looks to rebound.
Because Ethereum was the first blockchain with smart contract functionality, it became the default launching pad for blockchain projects. Five years ago, if you wanted to create your own crypto token or mint a non-fungible token (NFT), you were probably going to use Ethereum. It was also home to practically all the major decentralized finance (DeFi) applications. At the end of 2020, Ethereum was responsible for 96% of the total value locked (TVL) into DeFi protocols, according to data from DeFiLlama.
