Yesterday was undoubtedly an exciting day for Ethereum investors, as Ethereum hit a new high at a price of close to $1,440. As of press time, according to ZB.com’s official market data, the price of Ethereum has dropped slightly and is now reported to be $1,397, a 24-hour increase of 10%, and the 24-hour price range is from $1,268 to $1,439.
Ethereum has shown an amazing upward trend at the beginning of 2021. According to ZB.com’s official market data, the opening price of Ethereum on January 1st was $736. But in the short period of consolidation triggered by Bitcoin’s fall from $40,000 to $30,000 some time ago, Ethereum has also been affected. Although Ethereum lags behind Bitcoin in its price climb to a record high, it has become the mainstream cryptocurrency with the highest increase since the beginning of the year with a 92% increase. The last time Ethereum reached a record high was on January 13, 2018, at a price of $1432.88.
Numerous data show that there are four reasons for Ethereum’s breakthrough to a record high this time. The first reason is that based on the data from Glassnode and the tweets released by the encryption analysis company Santiment, it is not difficult to see that giant whales are hoarding Ethereum. The second reason is that due to the opening of the Ethereum 2.0 pledge, Ethereum and Bitcoin are facing the problem of seller liquidity tightening. The third reason is that Glassnode data shows that the recent trading volume of ETH has approached the peak value of the currency price in 2018, that is, investors’ enthusiasm for Ethereum trading is also constantly rising under the influence of the bull market. The fourth reason is that, like Bitcoin, Ethereum does not lack the participation of institutional investors.
Perhaps it was affected by the news that Bitcoin and Ethereum broke new highs, or because the product was in short supply. Colette Kress, executive vice president and chief financial officer of NVIDIA, a well-known artificial intelligence computing company and chip maker giant, said that NVIDIA may restart production of dedicated graphics processing units (GPUs) for cryptocurrency miners. Kress believes that if the demand in the cryptocurrency market rises to a “meaningful” level, the company may again start selling special cards for mining called CMP.
On the 19th, the Bank of France has successfully used the blockchain platform to conduct the central bank digital currency (CBDC) experiment for inter-bank settlement. The trial started on December 17, when investors used CBDC to buy and sell shares of a simulated fund worth 2 million euros ($2.4 million). The pilot project uses the distributed ledger technology provided by SETL, a regulated blockchain service provider in the UK, and the company also provides a CBDC stablecoin. SETL’s IZNEZ record keeping platform is used to track the movement of fund shares.
Also on Tuesday, former US Federal Reserve Chairman Janet Yellen said that in terms of terrorist financing, cryptocurrency is an issue that needs special attention. Yellen was previously nominated by the next President of the United States Joe Biden as Secretary of the U.S. Treasury Department and will speak in the near future. She said that the United States should note that cryptocurrency is an emerging tool for financing terrorism. But Yellen also said that as the chairman of the Federal Reserve, she did not want to over-regulate the cryptocurrency field, even though she has repeatedly rejected Bitcoin during her tenure. When she takes office, she will oversee a series of proposed regulations through FinCEM (Financial Crimes Enforcement Network).
About ZB Group
ZB Group was founded in 2012 with the goal of providing leadership to the blockchain development space and today manages a network that includes digital assets exchanges, wallets, capital ventures, research institutes, and media. The Group’s flagship platform is ZB.com, the industry leading digital asset exchange. The platform launched in early 2013 and boasts one of the world’s largest trading communities.
ZB Group also includes ZBG the innovative crypto trading platform, and BW.com, the world’s first mining-pool based exchange. Other holdings include wallet leader BitBank, as well as exchange brands ZBM, ZBX and Korea’s Bithi.
Industry intelligence and standards are headed by the recently launched ZB Nexus who embody the core values of ZB Group and open-source their reports and analysis for the public.
Learn more about ZB Group by visiting www.zb.com