Ethereum set a new record at $ 3,450 and raised cryptocurrency bulls after the entire market was consolidated for about two weeks.
After adding more than 16% on Monday and closing the trading day at $ 3,431, the price continued to rise and Ethereum set a new record at $ 3,450, according to Binance-Apoiado CoinMarketCap. Meanwhile, the asset was trading at around $ 3,373.45, up approximately 9.04% from yesterday’s close.
As a result of increased volatility, Ethereum (ETH) has seen its market capitalization rise to almost $ 400 billion. Notably, its average daily trading volume was approximately $ 72.7 billion according to the metrics provided by CoinGecko.
As the second largest digital asset in market capitalization, Ethereum has received a warm welcome from institutional investors, mainly due to its huge DeFi domain. Incidentally, Ethereum continued to throw bitcoin’s dominance down, with the latter having a market dominance of around 44.6% versus 16.7% for ETH. The average ETH gas is approximately 39 gwei.
The increase in the market price of Ethereum has roused cryptocurrency bulls after the entire market has consolidated for about two weeks. However, according to Dan Held, a popular cryptocurrency researcher, the cryptocurrency is in a “super cycle” with an upward trend in the coming months.
“Money printers are going to Brrrr… Bitcoin was planted during the 2008 financial crisis as an antidote to bad central bank policy, but it grew during a bullish macro race (largely without recessions or depressions from 2008-2020),” Held watches.
He added that:
“With Bitcoin’s current 4-year microcycles coinciding with the longest macro cycles of ~ 10 years, this puts Bitcoin into a potential Super Cycle. This is similar to Ray Dalio’s observation of short- and long-term debt cycles, but on an accelerated schedule. “
Fundamental underlying aspects of Ethereum (ETH)
More retail traders and institutional investors have joined the current bull market compared to the 2017/2018 bull market. In addition to the speculative aspect of the digital assets industry, utility aspects have accumulated in recent years. Thus creating an intrinsic value for most digital assets.
The Ethereum ecosystem is considered a leader in the smart procurement industry for most decentralized financial platforms. A DeFi platform like Uniswap DEX is built on the Ethereum ecosystem and handles most crypto transactions daily.
“Thousands of developers are creating apps that recreate traditional financial products in a decentralized way on top of Ethereum, and as more and more users come in to interact with these apps, they require ETH (ether) to make any transaction,” said Sergey Nazarov , co-founder of the chain link smart contract company.
“Second, there appears to be a growing institutional interest in the public Ethereum blockchain, as stakeholders play with ways to leverage the public network.”