The second most valued cryptocurrency by market capitalization has just hit a new milestone. While Dogecoin was in the limelight for most of the past week, Ethereum is taking the center stage going forward, as the asset surges past $4000 for the first time.
Ethereum supporters have, in their usual fashion taken to Twitter to express their excitement for the price upsurge, which has been highly anticipated all year.
Ether rose to $4165 earlier today, as the market raked in over 7% in daily gains. Market valuation surged to $476.3 billion, an impressive value for the asset and its network, but compared to Bitcoin’s $1 trillion market cap, Ethereum still has a long way to go.
It is important to note that as Ethereum’s value soars, and investors expand, Vitalik Buterin, the founder of the Ethereum network will continue to see his net worth swell. The 27-year-old recently became the youngest crypto billionaire and if Ethereum bulls stay blazing, Buterin’s net worth will soon be competing with the top dogs.
Ethereum bulls are calling the shots
Ethereum proponents are calling for a $10,000 price at the end of the year. While that seems like a far stretch, other analysts are predicting that prices could at least hit $6,000 before the end of the year, that is, as long as Ethereum maintains its current momentum.
The factors influencing the bull run are yet to be identified, but a large number of Ethereum supporters are opining that the Berlin Hard fork was a trigger in Ethereum’s bullish upswing. However, analyst Ki-Young Ju argues that institutional players are the ones flooding the Ethereum market.
Ju noted the $400,000 inflow of funds from Coinbase to the Ethereum market. He traces this buying power to institutional investors who he credits for the increase in Ethereum’s meteoric rise.
Earlier this year, Ethereum critics hinted that the asset would continue to decline as a continuous selloff could precede the problems that the Ethereum network faced. Ju closes with a tweet summing up why he believes following the bears are not profitable in the long term. “Selling ETH now seems not a good idea in the long term. Follow U.S institutional investors, not against them.” He wrote.
Analyst Adam Cochran also seems to be sticking with the idea of HODLing, while noting how the POS network could transform Ethereum for the better.
“So people keep asking me what price I’m selling ETH at, and my answer is – I’m not. I agree with people like iamDvestor (a popular Ethereum proponent) who has been a big proponent of the idea that real wealth in ETH is captured from staking yield, not sales.” He wrote on twitter. Adding that “Ethereum is set up to be the new internet, the new financial infrastructure and PoS and EIP-1559 make it clear that its use will capture immense value.”