Amid Bitcoin's rise to uncharted heights, Ethereum (ETH) jumped 24% on Sunday, breaking the $ 900 level. The last time the second largest cryptocurrency by capitalization was traded in this area in February 2018. The weekly growth in ETH was 50%, almost double the similar growth in Bitcoin. The price of Ethereum has grown by almost 500% over the year (for Bitcoin, this figure is 366%). However, the market value of ETH is still 43% below its all-time high. Ethereum, along with Polkadot, Cardano, and Chainlink, are set to break price records soon. One of the main drivers of Ethereum's growth is the rapid development of the decentralized finance industry. Ethereum 2.0 can also positively influence the ETH rate, in which staking coins with a market value of $ 1.7 billion are involved. Earlier, Messari analysts predicted an increase in demand for Ethereum from institutions.
Confirming its ability to quickly recover positions, the leading altcoin Ethereum (ETH) is again approaching $ 600. The coin barely broke the threshold last week as the selloff began. The coin fell below $ 500, but immediately after a significant increase in demand began, which indicated the desire of investors to open positions at a discount. However, an even more positive effect can be considered the fact that investors consider levels around $ 500 to be a good entry point and believe in further growth. It is worth remembering that Ethereum (ETH) was trading at $ 130 in early 2020.
During the extremely increased attention to Bitcoin, crypto market participants have cooled somewhat towards Ethereum. Until the end of November, you need to collect 524.288 ETH to launch the next phase of ETH 2.0. However, after the first rather striking successes, which were based on large one-time contributions, the community became very cool about the project. This was the factor that slows down the growth of ETH at the moment of general enthusiasm. There are several reasons for this: hypothetical community members find Ether too expensive at current levels. In addition, the deposited coins will be blocked indefinitely. Considering how many years it took to reach even the current stage, staking esters can get stuck there for years. Nevertheless, the algorithm is designed in such a way that even if the required amount is not reached in time, the next phase will still be launched 7 days after receiving the required number of coins, whenever this happens.
Very soon, interest in the cryptocurrency market may become wider again, moving from the first cryptocurrency to the top 10 and then to a wider list of altcoins. The first signs of this movement can already be noted. In this case, we see the positive dynamics of Ethereum (ETH). Over the past day, Ethereum (ETH) has grown more than 6% to $ 404 on the news of the launch of ETH 2.0. The ETH community is in a very high spirits due to the long-awaited news, as shown by the price increase. The developers have already opened the opportunity for staking for ETH holders. According to ETH 2 Launchpad, nearly 16,300 ETH have been raised so far. According to analysts at Glassnode, the mainnet may launch on December 1.
As the popularity of Bitcoin grows, so does the cost of transactions. The network recently recorded one of the largest transactions in the amount of $ 1.3 billion (94.5K BTC) with a commission of only $ 3.5. However, as interest and trading volume increased, transaction fees increased from $ 3.5 to $ 10. Despite this, Ethereum (ETH) miners are still making more money from stablecoins and DeFi. According to Messari, as of October 25, ETH miners earned $ 1.74 million per day, while BTC miners $ 1.54 million. Although fees are growing, they still cause slight bewilderment, since users are infinitely more profitable in terms of fees and transaction speed in the banking sector.
PayPal's official announcement to add the ability to buy and sell cryptocurrencies, including Bitcoin, was a very strong impetus for the growth of the first cryptocurrency, probably becoming a key event that managed to poison the first cryptocurrency in search of new peaks. In addition to Bitcoin, this also applies to Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC). All of the listed coins went into growth amid this news.
Over the past week, 72% of participants out of 250 leading digital currencies fell, in a broader format it is clear that alternative cryptocurrencies are holding up well. The leading altcoin Ethereum (ETH) has grown by 180% since the beginning of 2020. Bitcoin cannot boast of such growth and many are afraid of the increased dependence of cryptocurrency dynamics on the mood of traditional markets.
Ethereum 2.0 developers have launched the final Spadina testnet. The network with a three-day lifecycle will be the "dress rehearsal" for the launch of Ethereum 2.0. Spadina will allow the network rollout and deposit contract processes to be re-run. The network will operate in parallel with the existing Medalla testnet. After 3 days, the developers will stop supporting it. Epoch zero has ended in the Spadina network. The level of participation of validators is still estimated at 35%, which is significantly lower than expected. A similar situation was observed during the launch of Medalla, but subsequently the network stabilized. In total, Spadina has 2 856 validators who have contributed 91 392 test ETH for staking. Preparations for the launch of Ethereum 2.0 are going according to plan. The release of the zero phase of ETH 2.0 should take place in November this year.
Although developers face difficulties on the way to the transition to Ethereum 2.0, transaction fees on the blockchain exceed $ 10, ETH not only holds positions, but also grows, which is a rather rare story for "cryptostars-2017". This success owes Ether to the widespread use of the blockchain by stablecoins and DeFi, which were on the rise in 2020.
The reason for optimism in the market was the message that Ethereum miners earned a record $ 1 million in an hour. This happened as a result of the fact that commissions on the network of this cryptocurrency increased significantly due to the free distribution of the token. The Ethereum-powered Uniswap exchange issued its UNI token and gifted it to users for $ 1,500: market participants paid $ 50 per transaction to collect their prize as soon as possible.
The Ethereum 2.0 update, as previously planned, will be released in November of this year. In October, the developers plan to complete work on the security of the new blockchain and begin to improve the user interface. This news somewhat reassured market participants after the information appeared on the eve that the developers had discovered a vulnerability in the test version of the updated network, which makes it weak in front of possible hacker attacks.
The Ethereum developer has discovered a potential vulnerability in Ethereum 2.0 - a low level of participation in staking, this could allow the whales to disable the network. This is bad news for Ethereum investors as they have high hopes for a new version of the network.
Although developers face difficulties on their way to the transition to Ethereum 2.0, transaction fees on the blockchain exceed $ 10, ETH not only holds positions, but also grows, which is a rather rare story for the "crypto stars of 2017". This success owes Ether to the widespread use of the blockchain by stablecoins and DeFi, which were on the rise in 2020.
Ethereum (ETH) is showing significantly more significant growth. Despite the rise in transaction fees on the blockchain, which makes it inaccessible to ordinary users, the project is attracting huge attention and has the potential for further growth. First of all, now it's about decentralized finance. Cryptocurrencies are still aiming at creating a "superstructure" over the financial system. If Bitcoin didn't succeed, then DeFi tokens have become more flexible and much more similar to the traditional banking sector.
Investors in China are massively withdrawing Ethereum from marketplaces, deleting accounts, and encouraging other users to do the same. The outflow of funds was recorded from the platforms Binance, Poloniex, Bittrex, Kraken, Kucoin and Bitfinex, said local journalist Colin Wu on his Twitter account with a link to the analytical service Cryptoquant. There are two reasons for this peculiar movement. Firstly, over the past week, many sites experienced delays in withdrawing funds and interruptions in work. For example, Poloniex disabled withdrawal three times in September due to problems with Ethereum and Tron wallets and all tokens based on them. Another reason is the development of the decentralized finance (DeFi) sector. Traders most of all withdraw Ethereum to DeFi-sites for "profitable farming". The essence of this strategy is to make a deposit on the platform and receive a percentage on it in another cryptocurrency, that is, “harvest”.
The most impressive drop was shown by coins from the DeFi sector. After such a rapid growth, such a scenario was inevitable. The main question is different: will there be a rebound? If DeFi coins are a purely speculative topic with bubble properties, then a return to growth would be a big question. Nevertheless, we see now that DeFi cryptocurrencies were the first among cryptocurrencies to recover after the fall. It is likely that pent-up demand is now in force, and investors who have missed the moment of the price jump are entering the market. In the medium term, there are still good chances for several more cycles of significant growth. Further, restrictive factors can come into play, including regulation or technical aspects. In addition, scenarios with hacker attacks should not be ruled out. During the ICO boom, news of multi-million dollar hacks came with almost the same frequency as news of successful fundraising rounds.
Strong demand for DeFi protocols, as well as demand for liquidity in general, are driving the growth of stablecoin emissions. Over the past several months, the emission of stable cryptocurrencies has grown by about $ 100 million every day. DeFi projects are attracting impressive volumes of stablecoins. In addition, after the correction has begun, stable cryptocurrencies are also starting to attract an abundant amount of assets from closed positions.
Fears have been growing lately that it is the decentralized financial applications sector that could trigger the next major wave of correction. However, DeFi cryptocurrencies are showing unexpected resilience despite the decline in the crypto market. It is likely that in the medium term we will see a further drop in the Bitcoin dominance index and the growth of Ethereum, whose capitalization has almost doubled since the end of July.
Ethereum fell by more than 9% in a day. In this case, we see a correction after an impressive growth, since even taking into account the current decline, ETH shows an increase of more than 12% over the week. The thing is that Ethereum is now playing on many fields, and in each case wins. In addition, the project provides high commissions to miners. So, on September 1, ether miners earned a record $17 million due to the high demand for the project's blockchain. It remains to be hoped that the project will withstand the load and prove its scalability, which will result in even greater growth in demand for ETH.
Basically, the market was pulled up by DeFi coins. However, more and more pessimists appear about their prospects. They point to many signs of a bubble, the collapse of which could lead to a redirection of funds towards the most famous cryptocurrencies, or again could cool off interest in the entire market for a long time. The Greed and Fear Index for Bitcoin and other major cryptocurrencies is in a state of "extreme greed", adding 8 points per day. The indicator is still going against the RSI for the BTC / USD pair, which shows room for growth without approaching overbought levels.
* Crypto Rating accepts no liability for content of the Ethereum reviews made by the site users. The entire responsibility for the contents rests with the authors.
Top Cryptocurrencies with Price Predictions
| # | Crypto | Prediction | Accuracy | CVIX | Price | 24h | 7d | Market Cap | 7d price change | |
| 1 |  BTC |
Bitcoin predictions | 87.2% | 15 | $95 554.91 | -2.62% | -6.65% | $1 892 116 715 616 |  |
|
|---|---|---|---|---|---|---|---|---|---|---|
| 2 |  ETH |
Ethereum predictions | 74% | 50 | $3 369.03 | -3.32% | -9.08% | $405 842 031 910 |  |
|
| 3 |  USDT |
Tether predictions | 92.4% | 1 | $0.998896 | -0.02% | -0.05% | $139 273 993 826 |  |
|
| 4 |  XRP |
XRP predictions | 68.4% | 62 | $2.19 | -4.28% | -9.19% | $125 410 462 511 |  |
|
| 5 |  BNB |
Binance Coin predictions | 78.4% | 43 | $696.51 | -1.37% | -1.06% | $100 302 110 696 |  |
|
| 6 |  SOL |
Solana predictions | 71.6% | 59 | $189.68 | -3.17% | -9.83% | $90 961 491 760 |  |
|
| 7 |  DOGE |
Dogecoin predictions | 68.8% | 65 | $0.317505 | -4.68% | -13.27% | $46 787 644 414 |  |
|
| 8 |  USDC |
USD Coin predictions | 96% | 1 | $1.000064 | 0.01% | 0.01% | $43 101 217 152 |  |
|
| 9 |  ADA |
Cardano predictions | 65.2% | 66 | $0.871704 | -5.00% | -11.60% | $30 624 599 630 |  |
|
| 10 |  TRX |
TRON predictions | 64.4% | 72 | $0.252150 | -1.95% | -5.07% | $21 737 305 680 |  |
|
| 11 |  AVAX |
Avalanche predictions | 61.6% | 74 | $37.98 | -6.67% | -12.27% | $15 566 142 454 |  |
|
| 12 |  LINK |
Chainlink predictions | 67.2% | 67 | $23.03 | -6.73% | -9.55% | $14 692 975 146 |  |
|
| 13 |  TON |
Toncoin predictions | 70.8% | 61 | $5.75 | -2.91% | 5.65% | $14 685 782 037 |  |
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| 14 |  SHIB |
SHIBA INU predictions | 66.4% | 64 | $0.000022 | -5.75% | -11.14% | $12 799 309 339 |  |
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| 15 |  HBAR |
Hedera Hashgraph predictions | 64.8% | 78 | $0.292346 | -6.59% | -0.09% | $11 182 857 466 |  |
