Reshab AgarwalThis is the biggest bull run of Ethereum I have seen. The price of the currency has increased by more than 50% after its last low. And Ethereum continues to make fresh highs amidst the dwindling market. I say this because Bitcoin has been struggling to move past $60k, let alone make new highs. On the other hand, the bull run of Ethereum isn’t just slowing down. Last night it did consolidate a bit from the all-time high and is now trading at $3260.
Ethereum hitting new highs every day.
Image credits: Forbes.com
The momentum of Ethereum has been something new in the market. Such fast growth hasn’t been seen in any mainstream coins before this. The $3000 breakout and pushing the prices even further happened on 2nd and 3rd May. And the price of Ethereum is also well above the 10hr and 50 hr moving averages. Even analysts are saying that the momentum of ETH is very bullish and it makes no sense to go against it. There could be some strong resistance at the $3,500 mark and moving past that, the price of ETH can push towards the $4000 price point.
The trading volume of Ethereum is also very high. On 2nd May, it was estimated to be $35 billion, just $4 billion short of Bitcoin. And it is clear that if the volume continues to rise, so will the price. We have to wait and see where the ETH rally cools down, and the coin finds a resting ground.
This sudden increase!
Just like Bitcoin, the intrinsic value of Ethereum is quite higher than what’s it trading at. The huge increase in the usage of the coin has resulted in a significant push in its price. The amount locked in DeFi to the usage of apps based on the ETH network and also the NFTs craze has significantly created a lot of use cases for ETH. At the same time, the new Ethereum 2.0 upgrade has helped it make fresh highs.
Once the new update is implemented, there will be a lot of changes to the network that will make ETH better. From lowering the gas fees to increasing the number of transactions that the network can support per second, ETH has a lot of upgrades coming soon. And this could be one of the major reasons why the prices are just rocketing high.
ETH and BTC have swapped places
I remember almost 45 days back when ETH was trading between $1800-$2000; it was finding it difficult to move past the $2k price point. Bitcoin was making new highs, but ETH was stuck due to strong resistance. And eventually, it fell to $1600 levels. But now, the price of Ethereum has been booming while Bitcoin is stuck below $60k. It could be due to the increasing interest in ETH, the positivity around it, or just a lack of momentum BTC is lacking. But yes, BTC and ETH have swapped places.
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