evo

Site Admin
Apr 2017
Seattle
#1
What is The Flippening?

Bitcoin (BTC) currently trades for around $2700 USD and Ethereum (ETH) trades for around $330 USD. In terms of market capitalization, Bitcoin and Ethereum are coming closer to parity. Many believe this will signify Ethereum overtaking Bitcoin as the primary cryptocurrency, which is something that's being called The Flippening.

When The Flippening occurs, nobody knows for sure what this will mean for Ethereum's price, but the fundamental catalysts for upside are very strong. There is a high correlation between Ethereum and Bitcoin, therefore Ethereum will benefit from the resolution of Bitcoin's scaling agreement, and the launch of several new ICO's (Initial Coin Offerings) in the upcoming months.

Why does The Flippening matter?

It's possible that Bitcoin may not be the dominant cryptocurrency in the future, as its market capitalization continues to decrease. I believe a better outlook is Bitcoin may not hold such a commanding lead over other cryptocurrencies moving forward, which shouldn't take away it's place and purpose. But when The Flippening occurs, altcoins should rise in value independent of Bitcoin's price, which hasn't been the case in past years.

This does not mean anyone should lose faith in Bitcoin. Instead, we will all benefit from a much more competitive cryptocurrency ecosystem, and altcoins will continue to significantly increase in value in the upcoming years. Nearly every major cryptocurrency has shown positive gains already, despite the price of Bitcoin or Ethereum.

But it will most likely be Ethereum leading The Flippening, with several ICO's being offered on top of Ethereum's blockchain technology, rather than using Bitcoin's blockchain technology. Bitcoin will not be suitable for every project, at least not in its current state. And competition within the cryptocurrency industry is a good thing. And The Flippening indicates a seismic shift towards a much more competitive cryptocurrency industry where Bitcoin won't be the primary center of focus any longer.