ETH Just Reached a New All-Time High
Breaking out of a month-long lull, ETH crossed the pyschological barrier of $2,000 on early Friday morning. Yet it didn’t stop there—after a few hours of consolidation around the $2,000 mark, ETH went on to reach a new all-time high, breaching $2,060 at press time.
Ether Surges to New All-Time High
The price of Bitcoin has experienced incredible growth over the last several months. Yet this blast off to the moon hasn’t been a solo mission.
On March 13, 2020, the price of Ether was recorded at nearly $127. Just a year later, on February 20, 2021, after a year-long surge, the price of Ethereum reached its previous all-time high of $2,036. Since then, the price went through some drastic drops and rises.
For instance, on February 26th, a week after touching the previous all-time high, Ether’s price came down to nearly $1,456. Fast forward to March 19th, 2021, the price again went up to $1,812. One week later, ETH fell to nearly $1,632 on March 26th.
Since then, the price has been on an upward trend before crossing the mark of $2,061 today.
What’s Behind Ethereum’s Recent Spike?
Tweeting about the surge, Crypto Quant CEO Ki-Young Ju suggested the possibility of a spike in institutional buying driving this rise. Backing up his observation, Ju cited the flowing out of 400,000 $ETH from Coinbase a few days ago. As has been observed over time, such large exchange outflows are considered bullish as the asset heads towards cold wallets or institutional funds for long-term storage.
Grayscale, the world’s largest crypto fund, revealed in its most recent update that it holds 2.6% of the total ETH supply alone. 2.6% of the total supply roughly translates to nearly 3 million ETH tokens and is worth some $6.1 billion.
The analytics firm Santiment also made similar observations while analyzing the rise in Ethereum. While looking at the data for the recent ETH buying orders, the firm found a significant surge in the number of addresses with millions of dollars in ETH.
Addresses holding ETH tokens between 10,000 and 100,000 did shoot up by nearly 0.6%, with six new whales joining the network. Such a minuscule rise may appear inconsequential at the first glance. Yet, when we consider the fact that these whales hold ETH between $16 million and $160 million in value, the sudden spike in buying pressure results in a significant amount of money at play.
Friday’s Trading Session
To cross the $2,000 mark during Friday morning’s Asian trading session, Ethereum rose nearly 9% in 24 hours, breaking out of its consolidation pattern and indicating further gains.
Ether didn’t break its previous record until later in the day on Friday, around 10:30am EST.
To what height do you see Ether’s rocket ship soaring to? Let us know your opinion in the comments below.