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Ethereum (ETH), the second-largest cryptocurrency by market value, has just surpassed $3,000. According to CoinMarketCap, Ethereum reached a high of $3,050. This is the first time since Aug. 2 that Ethereum has hit this level. Comparatively, ETH has gained over 20% in the past week, better than Bitcoin’s (BTC) 10% rise.
ETH to reach its ATH soon
This increase is due to several factors. One key factor is the changing macroeconomic outlook in the United States. With a growing shift toward positive regulation in the U.S., more people may now use blockchain technologies, decentralized finance (DeFi) and other applications in the Ethereum ecosystem.
Meanwhile, the recent price increase is not just an important milestone; it may lead ETH to reach new highs. This is especially likely with important developments coming soon. Recall that Ethereum is deepening its proof-of-stake (PoS) transition, positioning it as a more energy-efficient blockchain.
The upcoming Ethereum upgrades, like The Surge, will improve scalability, lower transaction costs and make the platform more appealing for decentralized applications (dApps) and developers. Although there are risks from regulatory changes and market fluctuations, ETH’s recent surge shows it is in a good position for future growth.
Ethereum ETF experiences inflows
Ethereum exchange-traded fund (ETF) products recently experienced two consecutive days of massive inflows. This inflow streak comes after the week started with a mix of outflows and zero net flow. Data showed that the nine Ethereum ETF products registered a cumulative inflow of $79.7 million, $27.4 million higher than the previous inflow of $52.3 million.
As usual, Fidelity Ethereum ETF (FETH) led the daily inflow with $28.9 million, a $2 million increase from the Nov. 8 record inflow of $26.9 million. Two other top inflows came from BlackRock (ETHA) and VanEck (ETHV), with $23.7 million and $12.7 million, respectively. Interestingly, these Ethereum ETF inflows came amid soaring ETH prices.
As such, investors and analysts are watching closely to see how Ethereum performs moving forward. Many hope it stays stable above the $3,000 level and possibly reaches a new all-time high soon.