The price of Ether (ETH) , the own cryptocurrency of the Ethereum network, reached a new all-time high above $ 2,000 this morning. At the time of publication, ETH is trying to gain a foothold above a psychologically significant level and has so far successfully avoided a rollback to previous values.
The prolonged rise in the price of ETH over the past weeks has led to the capitalization of the cryptocurrency exceeding the $ 230 billion mark. Until mid-October 2020, the capitalization of bitcoin was lower. ETH’s closest pursuer, Binance Coin (BNB), has a capitalization of $ 46.5 billion.
The growth of ether is taking place against the background of increased user interest in the decentralized finance (DeFi) space, most of which are based on its blockchain. Additionally, cryptocurrency investments became more accessible to institutional players last week with the launch of Ethereum futures on the Chicago Mercantile Exchange (CME).
CoinShares analysts recently drew attention to the fact that at the previous stage, investment products based on Ethereum became the most popular among their own kind. The volume of the Ethereum-trust Grayscale at the same time exceeded $ 6 billion with a total amount of assets under the management of the company in $ 42.4 billion.
At the same time, the analytical platform Santiment notesthat ether growth has not been supported recently by an increase in trading volume, indicating a possible lack of interest among buyers. In addition, the attention to cryptocurrency on social networks was significantly lower than during the breakout of previous significant levels.
“Maybe the crowd isn’t so excited about ETH anymore. Lack of interest is usually a good sign, as the crowd tends to come right in at the local high. As long as the price can stabilize in conditions of low attention from social networks, the structure will be favorable, ”analysts say.