Ethereum (ETH) has surged past the notable $3000 mark, marking its highest point in almost two years. This rise in price comes amidst a general correction in the cryptocurrency market, with Ethereum outperforming Bitcoin in the past 24 hours. While Bitcoin usually led the market in 2023, this year has seen Ethereum taking the lead, showing a remarkable 28% increase compared to Bitcoin’s 21%, according to Bloomberg.
As Ethereum gains momentum, Bitcoin dominance has dropped to 51%, contributing to increased altcoin prices. This upward movement is driven by large investors and cryptocurrency companies that accumulated substantial amounts of ETH after its price surpassed $2600 and retested $2250.
Recent data shows increased social mentions of Ethereum reaching $3,000 and buying Ethereum this week. Despite a temporary dip in Ethereum’s price during the recent crypto market selloff, the influence of the fear of missing out (FOMO) on prices is evident. Ethereum now boasts an all-time high of 114.95 million holders, surpassing Tether (USDT) with 5.22 million holders.
Analysts, including Michael van de Poppe, predict a consolidation period for Bitcoin and suggest reallocating funds to the Ethereum ecosystem. Holding onto Ethereum (ETH) instead of engaging in day trading could be profitable, especially with the potential approval of a spot Ether ETF expected in May.
Factors such as the spot Ether ETF, the Dencun upgrade, rising demand for restaking, and airdrop farming, along with strong ETHBTC charts, are expected to fuel Ethereum’s price rally for several weeks.
In the last 24 hours, ETH price has surged over 3%, currently trading at $3,017. Although trading volume has slightly decreased, there are Ethereum options set to expire, totaling 792K ETH with a notional value of $2.4 billion. The options and futures traders show bullish sentiment towards Ethereum, indicating higher bets on its future performance.
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