First, since Jan. 1, Bitcoin has seen a significant gain as its price jumped from $7,195 to as much as $28,422.
The price of Bitcoin increased by 290 percent within 12 months, outperforming all global stock indexes and most stocks, aside from a small few, including Tesla (TSLA).
The growth in retail demand, favorable financial conditions as a result of central bank liquidity injections, and the fall of the U.S. dollar have been the key catalysts driving Bitcoin’s rally.
Despite its recent sluggish period versus Bitcoin, the Ether (ETH) price has performed strongly during 2020. In 2020, the Ether price began at $128 across major markets and ETH hit $748 at its height on Dec. 30.
The Eth2 release was the key engine of Ether’s rally during November. Eth2 started after hitting a threshold of over 400,000 ETH in deposits.
For Ethereum, Eth2 is a wide network update as it exponentially scales the blockchain over time. Without Eth2, Ethereum is able to process under 20 transactions per second. With Eth2, this figure increases to potentially thousands of transactions per second.
Much of the old school altcoins (the ones from 2017 and earlier), like XRP, Cadano (ADA), and Stellar (XLM) lagged behind Bitcoin pr. in year-to-date results.
XRP initially performed especially well in November out of the original altcoins when Bitcoin rallied towards its all-time peak.
XRP started the year at $0.1923 and rose to as much as $0.9210, representing a four-fold rise in approximately 11 months. However, as BTC surged past $20,000, altcoins took a hit, causing XRP to drop to $0.52. After the SEC’s lawsuit against Ripple, XRP dropped further, declining to as low as $0.17.