Why the price of Ethereum is key to the altcoin rally

Ethereum HODLers and legacy traders had an exciting week with the price hitting a new ATH of $ 2547 a day ago. The altcoin is trading closer to the ATH despite a lengthy price rally. Ethereum’s week was full and had exciting announcements like Bitmain’s introduction of new ASIC miners. This week the CME ETH-Futures reached new highs and the Berlin upgrade contributed to the optimistic mood of the traders on the stock exchanges.

Source: CME

Grayscale’s holdings are the same as they were a month ago, but that hasn’t stopped institutions from buying ETH futures. There are other updates on the Ethereum network that may have had a direct impact on the price. Although the Berlin upgrade didn’t go as smoothly as expected. However, this did not affect the Ethereum price rally.

Why the price of Ethereum is key to the altcoin rally

Source: Coinmarketcap.com

Additionally, the approval of ETH ETFs in Canada is vital to the ongoing altcoin rally. At the current price level, the rally of Ethereum is expected to continue based on the latest updates and based on the network metrics. Although sharding is an interesting aspect in the Ethereum updates, among other things.

When the price of Ethereum was at the $ 1200 level, the concentration of large HODLers soared and prepared to hit the next ATH. Despite some pullbacks, the price recovery continued. Ethereum’s transaction fees have increased in the past few hours while trading volume has decreased by over 10%. Top Ethereum dApps, Aave, and Sushiswap are pooling alongside other low and mid-cap altcoins. This could be the ideal time for ETH traders to hold the price against selling pressures.

Ethereum has spearheaded the altcoin rally several times in the past as it has a relatively high correlation with Bitcoin and an increasing correlation with top crypto assets. The upgrades planned for Ethereum can have a negative impact on the price unless the concentration of large HODLers increases. Booking profits with Ethereum are better in the long term than in the short term. While most altcoins are rising higher and offering double-digit returns in the short term, ETH has helped the price rally for most of the altcoins in the top 10. The price of Ethereum is key to the altcoin rally this season.

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