The DeFi centric blockchain ETH has been in a rut for the better part of the beginning of last month.
However, this week ETH started to show some signs of recovery as it started a new bull correction. At the time, ETH is trading at a new ATH of $2,058 as it witnessed a 37% upsurge after reaching its last peak of $2,402. Ethereum is the second-largest cryptocurrency in the world by market cap and has been able to defend its title thus far.
The ETH altcoin has been showing consecutive green candles daily for the last three days. The raise can be traced from $1,544 to the new existing ATH. In terms of its progress in 2021, the cryptocurrency is up 179% in the current year. With the new ATH, the market capitalization of the ETH has reached $236 million. The current upsurge of Ethereum is based on various reasons.
What are the Causes that helped ETH to Find a New ATH?
The most prominent and talked about factor behind the current upsurge of ETH is the VISA announcement. Last month VISA issued an official statement to the media that its users would be able to settle transactions with USDC with the Ethereum Network’s help. This news gave both ETH and BTC a 5%instant boost. In addition to this, several noteworthy institutional investors are also endorsing ETH.
A behemoth tech company based in China by the name of Meitu allocated a $40 million injection to both BTC and ETH. Another enterprise DLT infrastructure company also added ETH to their portfolio for asset management purposes. The Stakes ETH Trust has also started to allow its accredited investors base to have 8% returns on ETH 2.0. Meanwhile, the Grayscale ETH Trust keeps adding more strength to its portfolio.
ETH getting Endorsements from Every Corner
The ETH gravy train is looking pretty good as more and more investors are beginning to take note of the digital asset ecosystem. In recent news, well-known celebrity and influencer Mark Cuban reportedly flaunt his 30%ETH investment. In his opinion, the Smart contracts are going to change the face of DeFi and NFT evolution forever, and therefore ETH has gained possible momentum.
A few days ago, ETH inventor and co-founder Vitalik Buterin called for an emergency merger for ETH. The Beacon Chain is going to be an upgrade that would allow the ETH consensus model to shift from Proof of Work (PoW) to Proof of Stake (PoS). This upgrade would fully shift the ETH 2.0 and present the blockchain with new possibilities and opportunities.