{"id":23330,"date":"2018-01-06T07:52:40","date_gmt":"2018-01-06T15:52:40","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=23330"},"modified":"2026-04-20T08:49:54","modified_gmt":"2026-04-20T07:49:54","slug":"ethereum-suprasses-1000-strong-crypto-market-launch-casper-test-net","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/ethereum-suprasses-1000-strong-crypto-market-launch-casper-test-net\/","title":{"rendered":"Ethereum Suprasses $1,000 On Strong Market and Launch of Casper Testnet"},"content":{"rendered":"<p>If 2017 was the year of <a href=\"https:\/\/cryptoslate.com\/coins\/bitcoin\/\">Bitcoin<\/a>, the first few days of 2018 show that this year might be the year of everyone else. This should not be too shocking. At the start of 2017, Bitcoin enjoyed around 80% of the entire cryptocurrency market cap. Today, <a href=\"https:\/\/cryptoslate.com\/coins\/bitcoin\/\">Bitcoin\u2019s<\/a>\u00a0dominance by market cap hovers around 35%.<\/p>\n<p>Alternative digital currencies (altcoins) increased in popularity as different currencies ascend to prominence. At the beginning of December, <a href=\"https:\/\/cryptoslate.com\/coins\/litecoin\/\">Litecoin<\/a> was a sub $100 currency. A powerful December price surge pushed its value up over $350 before settling to current prices around $300.<\/p>\n<figure id=\"attachment_1908\" aria-describedby=\"caption-attachment-1908\" style=\"width: 241px\" class=\"wp-caption alignleft\"><a href=\"https:\/\/cryptoslate.com\/coins\/ripple\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-1908\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/09\/ripple-small-cover.jpg\" alt=\"Ripple\" width=\"241\" height=\"110\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/09\/ripple-small-cover.jpg 482w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/09\/ripple-small-cover-300x137.jpg 300w\" sizes=\"(max-width: 241px) 100vw, 241px\" \/><\/a><figcaption id=\"caption-attachment-1908\" class=\"wp-caption-text\">Last month, <a href=\"https:\/\/cryptoslate.com\/coins\/ripple\">Ripple<\/a> usurped <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a> for the #2 coin by market cap.<\/figcaption><\/figure>\n<p>This week <a href=\"https:\/\/cryptoslate.com\/coins\/xrp\/\">Ripple<\/a> had everyone\u2019s attention. The enterprise-focused alt-coin was priced at less than $0.50 at the beginning of December. It\u2019s now trading at over $3. Ripple\u2019s <a href=\"https:\/\/cryptoslate.com\/ripple-surge-2017\/\">more than 35,000%<\/a> rise in 2017 made it a late winner for the best performing crypto-asset in the world.<\/p>\n<p>Now, <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a> is having its moment. After an early price hike in December, Ethereum was relatively stable throughout the month. Throughout December, Ethereum remained around $700. However, the new year brought new changes for Ethereum, and the price shot up about $100 a day.<\/p>\n<figure id=\"attachment_23358\" aria-describedby=\"caption-attachment-23358\" style=\"width: 1024px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-large wp-image-23358\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2018\/01\/ethereum-2017-price-chart-1024x421.jpg\" alt=\"\" width=\"1024\" height=\"421\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2018\/01\/ethereum-2017-price-chart-1024x421.jpg 1024w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2018\/01\/ethereum-2017-price-chart-300x123.jpg 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2018\/01\/ethereum-2017-price-chart-768x316.jpg 768w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2018\/01\/ethereum-2017-price-chart.jpg 1470w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><figcaption id=\"caption-attachment-23358\" class=\"wp-caption-text\">Ethereum spent most of 2017 as the #2 coin by market cap, posting YTD gains of more than 8,000%.<\/figcaption><\/figure>\n<p>On Thursday, Ethereum surpassed the $1,000 mark for the first time. Although Ripple\u2019s recent run makes it the second most popular cryptocurrency by market cap, Ethereum\u2019s price increase helped it creep closer to second place, a mantel that it held for most of 2017.<\/p>\n<h2>Casper Testnet Launch Moves Ethereum Toward Proof-of-Stake<\/h2>\n<figure id=\"attachment_273\" aria-describedby=\"caption-attachment-273\" style=\"width: 241px\" class=\"wp-caption alignright\"><a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-273\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/08\/small-cover-eth.jpg\" alt=\"Ethereum\" width=\"241\" height=\"110\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/08\/small-cover-eth.jpg 482w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/08\/small-cover-eth-300x137.jpg 300w\" sizes=\"(max-width: 241px) 100vw, 241px\" \/><\/a><figcaption id=\"caption-attachment-273\" class=\"wp-caption-text\"><a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a> had a monstrous 2017, starting the year at under $10 and finished the year just under $1000<\/figcaption><\/figure>\n<p>The recent price improvements follow <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum\u2019s<\/a> test launch for Casper, which will transition Ethereum from a <a href=\"https:\/\/cryptoslate.com\/glossary\/proof-of-work\/\">proof of work (PoW)<\/a> model to a proof of stake (PoS) algorithm.<\/p>\n<p>Ethereum\u2019s current PoW is the same approach used by other cryptocurrencies including Bitcoin. In a PoW model, the blockchain is maintained by \u201cminers\u201d who complete cryptographic puzzles that validate transactions and document the data in the blockchain. For their efforts, miners are compensated in freshly minted currency.<\/p>\n<p>Although cryptocurrencies are predicated on the ethos of decentralization, the massive amount of computing power required to complete PoW algorithms have made some digital currencies more centralized. Additionally, there have been concerns about the environmental impact of mining because it takes <a href=\"https:\/\/cryptoslate.com\/bitcoins-energy-problem-getting-control\/\">an incredible amount of energy<\/a> to mine cryptocurrencies at scale.<\/p>\n<figure id=\"attachment_15876\" aria-describedby=\"caption-attachment-15876\" style=\"width: 300px\" class=\"wp-caption alignleft\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-15876\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/11\/bitcoin-oman-300x188.jpg\" alt=\"Oman Bitcoin\" width=\"300\" height=\"188\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/11\/bitcoin-oman-300x188.jpg 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/11\/bitcoin-oman.jpg 600w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><figcaption id=\"caption-attachment-15876\" class=\"wp-caption-text\">The total energy consumption of mining Bitcoin on a daily basis is equal to the total energy consumed by the country of Oman.<\/figcaption><\/figure>\n<p>Cryptocurrencies increasingly depend on private companies with large mining facilities to maintain their speed and efficiency. Moreover, as studies begin to emerge about the incredible amount of energy being consumed for cryptocurrency mining, there is an added incentive to improve the process.<\/p>\n<p>As a result, some cryptocurrencies are moving away from PoW and toward a PoS model.<\/p>\n<p>According to <a href=\"https:\/\/blockexplorer.com\/news\/ethereum-launches-casper-testnet-paving-way-proof-stake\/\">Blockexplorer<\/a>, proof of stake on the Capser test-net is working via the following method:<\/p>\n<blockquote><p>\u201cParticipants can become validates by locking up or \u2018staking\u2019 ether. Validators will take turns proposing and voting on blocks, and both the weight of their votes and the size of their rewards will hinge on the size of their stakes.\u201d<\/p><\/blockquote>\n<p>This setup should help remedy both the unwanted centralized and excessive energy use prompted by PoW.<\/p>\n<p>However, PoS is not without its drawbacks. Since users\u2019 chances of getting a block depends on how much Ether they can stake, the wealthiest participants are more likely to earn the mining rights and the reward. In other words, the rich get richer.<\/p>\n<p>There are other concerns about protocols when a fork occurs, but <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a> is working to resolve those issues by penalizing validators that don\u2019t try and work the consensus back to a single chain.<\/p>\n<h2>Ethereum\u2019s Place in the Crypto Space<\/h2>\n<p>Ethereum doesn\u2019t fit in with the rest of the alt-coins. First launched in 2015, <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a> is often considered a more refined version of <a href=\"https:\/\/cryptoslate.com\/coins\/bitcoin\/\">Bitcoin<\/a> that emphasizes its blockchain technology for platform development. In other words, Ethereum isn\u2019t just a platform for itself. It\u2019s a platform for everyone else to build their platforms as well, and that multiples Ethereum\u2019s value and market presence.<\/p>\n<figure id=\"attachment_528\" aria-describedby=\"caption-attachment-528\" style=\"width: 300px\" class=\"wp-caption alignright\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-528\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/09\/ethereum-enterprise-alliance.jpg\" alt=\"\" width=\"300\" height=\"200\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/09\/ethereum-enterprise-alliance.jpg 500w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2017\/09\/ethereum-enterprise-alliance-300x200.jpg 300w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><figcaption id=\"caption-attachment-528\" class=\"wp-caption-text\">The Ethereum Enterprise Alliance includes major Wall Street institutions such as JPMorgan and Accenture, and large-scale tech companies like Microsoft and Intel.<\/figcaption><\/figure>\n<p>It\u2019s led by <a href=\"https:\/\/cryptoslate.com\/vitalik-buterin-ethereum\/\">Vitalik Buterin<\/a> who is widely considered one of the foremost experts on blockchain technology.<\/p>\n<p>There is already significant interest from the business community in Ethereum\u2019s platform. Initiatives like the <a href=\"https:\/\/entethalliance.org\/\">Enterprise Ethereum Alliance<\/a> are developing use-cases for the platform.<\/p>\n<p>Whether the Casper iteration is the move that allows <a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">Ethereum<\/a> to appropriately scale and mature is obviously unknown. It\u2019s still in beta testing, and many changes will still be made.<\/p>\n<p>However, it is an encouraging reminder that blockchain platforms are not just resting on their achievements. They are continuing to develop to meet the growing demands for their services.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>If 2017 was the year of Bitcoin, the first few days of 2018 show that this year might be the year of everyone else. This should not be too shocking. At the start of 2017, Bitcoin enjoyed around 80% of the entire cryptocurrency market cap. Today, Bitcoin\u2019s\u00a0dominance by market cap hovers around 35%. Alternative digital [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":23360,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[120,36],"tags":[],"post_folder":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v21.9 (Yoast SEO v21.9.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Ethereum Suprasses $1,000 On Strong Market and Launch of Casper Testnet<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptoslate.com\/ethereum-suprasses-1000-strong-crypto-market-launch-casper-test-net\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Ethereum Suprasses $1,000 On Strong Market and Launch of Casper Testnet\" \/>\n<meta property=\"og:description\" content=\"If 2017 was the year of Bitcoin, the first few days of 2018 show that this year might be the year of everyone else. 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