Ethereum Outshines Bitcoin Amid Bullish Market Sentiments, While Toncoin Rises in Market Ranking
Summary:
Ether (ETH) prices surged 8% in a day, outpacing Bitcoin and other peers, amid increased social sentiment and optimism among derivatives traders. Current data suggests bullish sentiments for the rest of the month. However, some believe that the surge, driven by spot ETF approvals, might be short-lived if they are rejected. The past week saw significant growth in Ethereum's ERC-20 assets and a notable gain by Toncoin (TON), which has now replaced Cardano (ADA) in the top ten by market capitalization.
Spot crypto markets saw an 8% surge in Ether (ETH) on Monday, boosted by optimistic derivatives traders and positive social sentiment. Within the past 24 hours, Ether prices have risen by approximately 8%, reaching a daily high of $3,722 on April 9, significantly outperforming Bitcoin (BTC) and most comparable assets, based on information from CoinGecko. This is the maximum price that ETH has attained since March 16 – a little over three weeks ago. Therefore, it is only a 9% deviation from its 2024 peak of $4,070, and a 24% plunge from its highest ever price of $4,878 in 2021.
Bitcoin, in comparison, has only climbed 3% in the last day, hitting $71,395 at the current time. The Ethereum surge might be attributed to factors like robust social and market activity, as stated by social intelligence company Lunar Crush. "Continuing social engagement is complemented by dynamic price movements and market volume," the company mentioned in a post dated April 8.
The derivatives markets for Ethereum also hint at bullish expectations for the asset for the remaining days of the month. Approximately $600 million of open interest (OI) lies at the strike price of $4,000, and $378 million at strike prices of $3,700 and $5,000, as per data from the crypto futures exchange Deribit. This inclination towards the upside signals bullish expectations for the monthly options expiry scheduled for April 26, when nearly 900,000 Ethereum contracts worth $3.8 billion will expire.
However, not everyone shares this bullish analysis. Cryptocurrency writer and academician Vijay Boyapati recently expressed his opinion that the momentum driving Ethereum's surge might be short-lived if spot ETF approvals are turned down. He stated, “The temporary investment that came into ETH on the hopes of ETF approval could revert back to Bitcoin once all the Ethereum ETFs are rejected…”
On April 9, Santiment, an on-chain analytics firm, noted that Ethereum's surge to start the week has "energized" ERC-20 assets, allowing them to significantly outpace the market average. This sector has grown 8.1% in the past week. Moreover, Toncoin (TON), after an 18.5% daily gain, reached a new peak of $6.50 on April 9, surpassing Cardano (ADA) to be in the top ten concerning market capitalization. However, according to a report, 1 in 6 of the recently released Base meme coins are scams, with 91% susceptible to vulnerabilities.
Published At
4/9/2024 6:03:34 AM
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