Ethereum is testing a range of $ 2,300 while the market adds $ 70 billion

Ethereum tested the $ 2,300 price resistance area during the market’s recent rally. Total crypto market cap has increased 2% in the past 24 hours. That equates to about $ 70 billion in market cap gains on the last day. This new rebound comes in the face of news that bitcoin whales amassed over 60,000 bitcoins in a single day. The largest accumulation so far of 2021 in 24 hours.

The bullish news sent Bitcoin price above the $ 35,000 area and Ethereum broke $ 2,300 over the same period. ETH had traded consistently below $ 2,300 for the past week. With cops trying to push the coin over the hurdle, but to no avail. But in a small rally that followed the price of Bitcoin, the coin had finally broken this important point.

Related reading | Ethereum upgrades could boost the staking industry worth $ 40 billion, JP Morgan

Although the price only stayed above $ 2,300 for a short period of time, this is important news for Ethereum bulls.

Bullish news and mood

Last week it became known that the number of active Ethereum addresses has risen higher than that of active Bitcoin addresses. This comes after reports that active Bitcoin addresses have hit a new low. This was after the number hit a new record high at the height of the bull market.

Ethereum’s active addresses are reportedly over 700,000. While the addresses of the active Bitcoin wallet are just over 50,000. ETH market capitalization is currently around $ 264 billion.

While Ethereum is still following Bitcoin in terms of market cap and popularity, the coin is really gaining ground as a digital asset to invest in. With so many improvements in the network, there is speculation that Ethereum will soon overtake Bitcoin as the digital asset of choice in the world in the coming years.

Ethereum briefly breaks $ 2,300 before crashing again | Source: ETHUSD on TradingView.com

If the bullish sentiment rises, so will the number of new investors coming to Ethereum. The recent price hike has shown that market interest in the coin has not waned. The slow build up of the coin could indicate a much larger bull run on the horizon as it takes time for the coin to recover.

Ethereum is down over 50% from its all-time high. Go below $ 2,000. Before you relax and run a run above the $ 2,000 price level.

Additionally, news like analysts at JP Morgan that staking Ethereum could become a $ 40 billion industry by 2025 has left investors optimistic about the latest upgrades. With over six million Ethereum currently staked in front of ETH 2.0. That accounts for 5% of the total circulating Ethereum supply that is currently being staked.

Ethereum is making a comeback

Every bull market sees a surge in the popularity of digital assets. This recent bull market has skyrocketed ETH’s popularity. Countries like Isreal are testing their CBDC shekel on the Ethereum network.

The move to ETH 2.0 is causing more investors to choose Ethereum over Bitcoin as the leading blockchain due to the energy efficiency of the former over the latter. The move will also add security and scalability to the network. Hence, it attracts investors whose only concern about being in the crypto market is security.

Related reading | Scaramucci’s Skybridge Capital launches Ethereum fund

The rise of DeFi has brought more investors to ETH. Giving investors the ability to make money while owning cryptocurrencies.

Ethereum investments have increased as investors buy the coins to gain access to 32 coins that will allow them to run their own nodes in the wake of the proof-of-stake movement in 2022.

With Ethereum continuously testing the $ 2,300 price resistance area, the bulls continue to work to push the coin down in what could be the start of yet another bull run.

Featured image from Libertex, chart from TradingView.com

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