Ether Hits New High, Outperforms Bitcoin As Altcoins Rally

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Ether, the world’s second largest cryptocurrency by market cap, hit a new all-time high on Friday of around $ 4,400, surpassing the previous high of $ 4,379 in May, according to data from CoinDesk.

ETH has risen by around 11% over the past week, compared to a 3% increase in BTC over the same period. The technical charts show a further rise in ether against bitcoin, with a target of a rise towards 0.08 in the ETH / BTC price ratio, as reported in yesterday’s Market Wrap.

Overall, analysts expect cryptocurrencies to rise further for the remainder of the year despite occasional pullbacks, which can lead to volatile trading conditions.

“Bitcoin and major altcoins are experiencing high volatility on the intraday chart, which is normal at record highs, as we have seen recently,” wrote Lukas Enzersdorfer-Konrad, Bitpanda Product Manager, in an e- mail to CoinDesk.

“The last negative days have not damaged the overall structure of the market, and the fundamentals further indicate that the long term remains decidedly bullish,” Enzersdorfer-Konrad wrote.

Latest prices

Bitcoin (BTC): $ 62,346, +1.70%

Ether (ETH): $ 4,394, + 3.08%

S&P 500: $ 4,605, + 0.19%

Gold: $ 1,782, -0.97%

The 10-year Treasury yield closed at 1.55%

The great rotation

Despite recent volatility, some traders are starting to position themselves for a further rise in alternative cryptocurrencies (altcoins) such as ether.

“Lately, there has been a growing number of conversations among investors about shifting portfolio allocations from bitcoin to altcoins to capture the higher returns that alts have provided during times of more speculative risk,” FundStrat wrote, a global consulting firm, in a Thursday newsletter. .

“The good news (for BTC and ETH prices) is that the tides seem to be heading for a riskier decline in traditional markets,” FundStrat wrote.

The ether record

The new high price of ether coincided with the improvement in blockchain data. The Ethereum smart contract blockchain has burned more tokens than it issued in the past 24 hours, in part thanks to strong action in the shiba inu (SHIB), reported CoinDesk’s Omkar Godbole.

The story continues

Shiba Inu, the platform behind the self-proclaimed dogecoin killer, burned 770.12 ETH, becoming ETH’s third-largest destroyer. Uniswap v.2 and Tether destroyed 2,729.22 and 1,248.72 ETH, respectively.

And some options traders are betting that US regulators will soon approve an exchange-traded fund (ETF) based on ether futures and therefore buy cheap out-of-the-money calls in anticipation of a price rally. .

Strong network demand

The graph below shows the recent rise in the price of Ethereum gas, which refers to the cost of executing transactions on the blockchain network.

“Historically, when gas becomes expensive, we have seen an increase in activity on alternative L1s [layer 1]. But now that Arbitrum and Optimism are online, the L2 [layer two] could end up being the primary beneficiaries, ”crypto research firm Delphi Digital wrote in a blog post.

Altcoin balance sheet

Decentraland’s MANA jumped 80% in 24 hours: MANA, Decentraland’s native token, jumped 80% in one day to reach a market cap of over $ 2 billion, reported Lyllah Ledesma of CoinDesk. It comes after Facebook’s announcement Thursday afternoon that the company changed its name to Meta to signal growing attention to the metaverse, which apparently spurred the jump.

Here’s why a CryptoPunk sold for $ 530 million: A Twitter bot that tracks CryptoPunks sales reported a transaction that showed the sale of a CryptoPunk non-fungible token (NFT) for half a billion dollars, has reported Andrew Thurman of CoinDesk. But while the purchase was said to have been one of the biggest art auctions in history, analysts at the chain were quick to point out that the sale was just a clever piece of clever contract magic.

XRP is wrapped by Tokensoft for Ethereum DeFi’s debut: Tokensoft’s Wrapped takes a multi-custodial approach by partnering with Hex Trust on wXRP, CoinDesk’s Ian Allison reported. The new connectivity for XRP holders will allow access to various DeFi applications, whether lending, borrowing or use by automated market makers, said Tokensoft CEO Mason Borda. Wrapped has previously encapsulated a number of tokens including bitcoin, zcash, filecoin, and others.

Relevant news Other markets

Most of CoinDesk 20’s digital assets ended the day higher.

Notable Winners at 9:00 p.m. UTC (4:00 p.m. ET):

The Graph (GRT): + 3.36%

Polkadot (DOT): + 3.32%

Stellar (XLM): + 3.10%

Notable losers:

Dogecoin (DOGE): -6.26%

Aave, (AAVE): -2.61%

Polygon (MATIC): -1.17%

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