Ether, the world’s second-largest cryptocurrency, hits a record high above $1,700
Ether, the digital token of the Ethereum blockchain, is the second-largest cryptocurrency in the world by market value. Jaap Arriens | NurPhoto via Getty Images
LONDON — The cryptocurrency ether hit a fresh all-time high on Friday, surging past $1,700 for the first time. Ether, which is the world’s second-largest digital coin by market value, climbed 11.2% to a price of $1,743 at around 10:30 a.m. ET, according to data from CoinDesk. It comes after bitcoin, the most valuable virtual currency, hit a record high close to $42,000 last month. Bitcoin more than quadrupled in price over the course of 2020, and is up 29% since the start of 2021. Ether has risen about 129% year to date. Ether has been steadily rising this week as investors await the highly anticipated launch of ether futures contracts from the Chicago Mercantile Exchange next week.
Trading in ether futures is set to start Monday. The CME launched bitcoin futures over three years ago, at the peak of that cryptocurrency’s 2017 rally. Some investors believe that futures and other crypto-focused derivatives products will give institutional investors more confidence to invest in the space. “Bringing more financial instruments will bring more participants into the market,” said Sachin Patodia, a partner at Avon Ventures, a venture capital fund affiliated with the parent company of Fidelity. “That probably is positive for the ether price.” But Patodia said a big driver of the price of ether — and other smaller digital currencies — was the momentum for bitcoin in recent months.
Bitcoin Back Above $40K as Institutions Lead the Way
Disclosure
The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies . CoinDesk is an independent operating subsidiary of Digital Currency Group , which invests in cryptocurrencies and blockchain startups
Bitcoin Bullish as it Breaks $40,000, New ATH Incoming?
Bullish weekend momentum sees Bitcoin surpassing $40,000 as altcoins take a beating.
The weekend is not a common place for Bitcoin to surge in price. However that is exactly what is happening. The price of BTC surged over $40,000 and is looking to retest the previous all-time high of $41,950.
Bitcoin looks to have gained bullish momentum following a strong week in the crypto markets. The overall sentiment remains positive as the cryptocurrency saw a strong recovery from the January monthly low of $28,800.
BTC Dominance Rising Once Again
The rise follows a week headlined by Ethereum’s surge to a new all-time high. A mild correction has given the leading coin the opportunity to take center stage once again.
Bitcoin dominance is up nearly three percent on the day. While its price sees positive momentum, altcoins have taken a beating on Saturday.
Bitcoin is not known for having a strong January according to its pricing history, so the 30% correction last month may finally be over. It looks set to carry on trending upwards with no end in sight if the previous high is broken.
Saylor Pushing Bitcoin for Corporations
The Bitcoin price surge comes just days after MicroStrategy CEO Michael Saylor hosted ‘Bitcoin for Corporations’. The events were held on Feb. 3 and 4.
Microstrategy has purchased in excess of $1.3 billion worth of BTC to date. The current sentiment towards the coin among corporations appears to be gaining attention.
BTC Chart By TradingView
New All-Time High Incoming?
The impressive recovery to over $40,000 now means there is potential for Bitcoin to break the previous all-time high. The weekend pump is likely to retest the current all-time high. However it will be up to the bulls to push it over the line if there is to be a new high this weekend.
Altcoins Suffer as BTC Pumps
With Bitcoin up over 5% on Saturday, most altcoins are experiencing heavy corrections to BTC pairings. It is likely traders are selling out of altcoins and back into BTC. The case can be made that if it breaks its previous all-time high once again, we could be in line to push for $50,000 next.
With Bitcoin looking strong heading towards the weekly close, it is very likely altcoins will see more red as the new week commences with BTC bulls in charge.