Alts Find It Tough to Beat Layer 1 King Ethereum

$Ethereum(ETH.CC)$ As the Federal Reserve appears to be poised to take a more hawkish stance on monetary policy (for now… maybe), especially in light of recent high inflation data, cryptocurrency investors seem to be rethinking how they’re allocating their money in the sector.

One would expect that to mean good news not just for the price of ether, the native token of the Ethereum network, but also for its layer 1 alternatives. Instead of a gold-like store of value (a chief value proposition for bitcoin), ether and its rivals represent bets on sophisticated platforms for building smart contracts, non-fungible tokens (NFTs), decentralized finance (DeFi) applications and other wizardry.

Nonetheless, the 90-day correlation coefficient of bitcoin $Bitcoin(BTC.CC)$ and ether is still a very high 0.84 and generally rising. That means they are increasingly moving in lockstep, though ether still outperforms bitcoin.

Part of the content is taken from Yahoo.