Today, the Ethereum token began to explode with its accumulated potential, breaking through its second record high of $1,475 on January 25 with a performance of $1,486. After that, in just 23 minutes, the price of the Ethereum token broke through the $1,500 mark and continued to hit a record high. According to ZB.com’s official market data, the Ethereum token is now quoted at $1,516, a 24-hour increase of 10.22%, and the 24-hour price range is $1,361 to $1,548. And this is the third time that the price of the Ethereum token has broken through its all-time high in the past 30 days. The first two were $1,440 on January 19 and $1,475 on January 25.
Yesterday, Spencer Noon, the head of crypto investment at DTC Capital, a well-known investment institution, predicted at 17:30 that the Ethereum token would break through its historical high and gave 11 reasons. He believes that in the field of encryption, the current cost of the Ethereum network is the highest. Moreover, the number of large-scale Ethereum token transactions is much smaller than that of the previous high of Ethereum tokens in 2018, which means that larger participants have not yet entered the market. From the perspective of computing power, the Ethereum token is currently at the highest level in history. Also at the highest level in history is the number of daily active addresses of Ethereum tokens. DeFi (Decentralized Finance) projects, which are the main purpose of Ethereum, are also experiencing parabolic growth. According to data from DeFi Pulse, DeFi’s TVL (Total value locked) currently exceeds 28 billion U.S. dollars. And the number of TVL projects with more than 100 million U.S. dollars shows that DeFi is maturing rapidly and gradually developing towards the institutional level. The total value of stablecoins on Ethereum has grown from US$2 billion to US$20 billion in the past year, a full increase of 10 times. The trading volume of DEX in January has exceeded 60 billion US dollars. There are more than $20 billion in funds in the Ethereum loan agreement, which shows that DeFi loans are undergoing more tests. In addition, the Ethereum token is gradually leaving the crypto exchange, indicating that investors are hoarding the token. As of February 2, the ETH 2.0 deposit contract address has received more than 2.9 million Ethereum tokens.
Another well-known analyst, Lark Davis, provided several reasons for the surge in Ethereum tokens in 2021. He believes that the upcoming CME Ethereum futures can provide institutional participants with the first experience of Ethereum, which makes institutional investors interested in Ethereum tokens. The launch of the Ethereum Fund by Mike Novogratz’s Galaxy Digital is also one of the bullish factors, which will provide institutional investors with exposure to Ethereum tokens. At the end of last month, Grayscale announced that it had reopened its Ethereum Trust for private investors, which is undoubtedly one of the reasons for the bullishness of the Ethereum token. He also believes that Ethereum 2.0 is expected, and when it is implemented, it will make all other smart contract platforms obsolete.
At present, many organizations and many analysts have expressed relevant arguments that DeFi has a very future. Jun Dam, a smart contract engineer who wrote code on the Ethereum and Tron platforms, speculated that traders may be selling some of their stored DeFi tokens. He also pointed out that many decentralized exchanges have carried out a large number of matching with Ethereum tokens, and as of this year, the total amount of DEX has increased greatly. Swissquote’s Thomas said that DeFi is definitely “delicious”, and based on the trend of more people using DEX in the next 12 months, it can be considered that DEX is still underestimated. Cameron Winklevoss, the co-founder of Gemini, tweeted that the $1,500 ETH is still undervalued, just as the value of the Internet has no upper limit. In the long run, the possibilities of decentralized applications and computing are unlimited.
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.
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