Ethereum Celebrates 10 Years as Bitcoin’s Top Alternative
Ethereum, the second-largest and second most widely used cryptocurrency, has now been on the market for a full decade. It was officially launched on July 30, 2015. The project was created by two programmers: Vitalik Buterin, a Canadian of Russian origin, and the Englishman Gavin Wood. While Buterin introduced the concept of Ethereum in late 2013, it was together with Wood that he brought the cryptocurrency to its final form. [1]
The original idea behind Ethereum was to create a computer platform that would use blockchain technology to run decentralized applications. Unlike Bitcoin, which was designed primarily for peer-to-peer money transfers, Ethereum was envisioned as a network capable of recording virtually any kind of contract. This meant that, in addition to transferring money, it could facilitate the exchange of property, shares, or other assets—without the need for intermediaries such as lawyers or notaries.
Ethereum (ETH) also differs from Bitcoin in how its supply grows. While Bitcoin’s total mineable (and therefore marketable) quantity is fixed and limited, Ethereum’s final supply is undefined. However, no more than 18 million ether can be added to the market in a single year. [2]
Ethereum’s value over the past decade
When Ethereum launched, it initially traded between $1 and $3 per unit. In early 2017, it finally broke out of single-digit prices and, in the following months, rose into the hundreds of dollars per unit.
In early 2018, Ethereum surpassed $1,000 for the first time, but only briefly, before trading in the lower hundreds until late 2020. The second breakthrough above $1,000 came in January 2021, and Ethereum has not fallen below that mark since. [3]
The cryptocurrency reached its all-time high in November 2021, just below $4,700, before a sharp correction took it back under $1,000. Another major rally began in the fall of 2023, after which Ethereum typically traded between $2,000 and $4,000—remaining highly volatile. Since April of this year, Ethereum has surged again and is currently (midnight, August 10–11) trading around $4,200, though this could change quickly.
Ethereum’s position in the market
Ethereum has largely fulfilled its original mission as a kind of alternative to Bitcoin. It is now the second-largest cryptocurrency by market capitalization, exceeding $500 billion. For comparison, Bitcoin’s market cap is about $2.3 trillion, while the third-largest cryptocurrency, XRP, is valued at just under $190 billion. [4]
Despite its strong position, Ethereum will most likely remain in second place. Bitcoin dominates as the leading crypto asset, seen by investors as an alternative to stocks, gold, and major fiat currencies like the U.S. dollar. Ethereum faces a tougher challenge—competing not just with traditional assets, but also with Bitcoin itself. Still, a cryptocurrency’s appeal is not measured only by market cap, but also by its growth potential—and Ethereum continues to have plenty of that.
Sources:
[1] https://en.wikipedia.org/wiki/Vitalik_Buterin
[2] https://coinjournal.net/cs/ethereum/tezit/