Ethereum (ETH) Skyrockets above $2,000 for the First Time Ever
Ethereum (ETH), the second-largest digital asset by market value, broke above $2,000 and hit a new record at $2,042 during early Asian hours on February 20.
At the time of writing, ETH/USD is changing hands at $2,000, having gained over 5% in the past 24 hours and over 200% since the start of the year. Ethereum’s market capitalization surpassed $230 billion, while an average daily trading volume exceeded $40 billion.
ETH is on fire
The second-largest digital asset is driven by a range of positive fundamental developments including the successful launch of ETH futures on the CME and increased institutional demand.
The analysts from Fundstrat Global Advisors LLC believe that ETH is on the verge of a massive bullish trend that will eventually take the price of the token above $10,000. They pointed out that a booming decentralized finance (DeFi) industry will be instrumental for ETH’s strong growth as the overwhelming majority of DeFi projects are built on top of the Ethereum blockchain.
Apart from that, an emerging non-fungible token (NFT) industry is also fueling ETH growth. The total value of the transaction with NFT saw a nearly 300% growth in 2020 and the trend is set to continue. According to the research conducted by NonFungible.com and foresight company L’Atelier BNP Paribas, the industry will become a major driver of the virtual economy in 2021.
The cryptocurrency market is on fire as the first digital currency, Bitcoin (BTC), hit a new ATH above $56,000 on February 19, while its market value surpassed $1 trln for the first time in history.
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