Ethereum’s crazy streak persists, with the ETH price breaking $4,000 for the first time.

Spread the love

 218 Interactions,  2 today

The second-largest digital asset does not seem to be slowing down too soon.

On May 10, Ether (ETH) surpassed $4,000 for the first time, breaking through the psychologically important threshold on several exchanges, including Coinbase. The latest mark arrives just a week after the previous one of $3,000.

ETH/USD 4-hour candle chart (Coinbase). Source: Tradingview

ETH surpassed Bank of America as the world’s 28th largest asset last week. However, at $454.49 billion as of today, ETH has now surpassed the market capitalizations of consumer staples behemoths Wal-Mart and Johnson & Johnson, and is vying for the attention of JPMorgan Chase, the largest American bank by assets under control.

Part of the increase may be attributed to increased investor interest in the commodity. According to a Coinshares survey published this week, institutions purchased more than $30 million in ETH at the end of April. It is estimated that money managers already own $13.9 billion in ETH or ETH vehicles.

RECOMMENDED READ:  Why 2021 is going to be big for the social layer of ETH 2.0

Similarly, there have been major advancements in adoption. The European Investment Bank reported last week that it would issue a $120 million bond on the world’s largest layer-1 in cooperation with global banking institutions such as Goldman Sachs. Furthermore, the development of decentralised finance — one of Ethereum’s core communities and use cases — continues at an astonishing rate.


The most bullish catalysts on the horizon, however, are a couple of big network connectivity upgrades: EIP-1559 and ETH 2.0. EIP-1559, which is now planned to be included in the “London” hard fork, will reform the ETH fee system which is projected to dramatically reduce gas prices while still possibly making ETH a more deflationary currency.

In exchange, ETH 2.0 will move the network to a proof-of-stake consensus model, which is supposed to reduce sale pressure and promote asset keeping.

The incredible run has also sparked fresh anticipation that a “flippening” — a long-awaited occurrence among the Ethereum population in which ETH overtakes BTC in market capitalisation — is on the horizon.

Leave a Reply

Contact Us