Over the last week, Ethereum (ETH) has been consistently gaining 5% daily and is currently approaching its new milestone of $2900. At press time, Ethereum (ETH) is trading at its new all-time high of $2866 with a market cap of $331 billion.
The recent ETH price rally comes with the surge in the spot trading volumes since mid-April, reports data analytics platform Skew.
Ether spot volumes have materially picked up since mid-April pic.twitter.com/3WqHlWdsl7
— skew (@skewdotcom) April 29, 2021
Analysts are quite bullish on the ETH price rally and said that it isn’t stopping anytime soon. A majority of the market players also believe that the Ethereum (ETH) price can rally all the way up to $10,ooo and above by the end of this year. Let’s take a look at some of the top-ten fundamental reasons backing the bullish momentum in ETH.
Top 10 fundamental Reasons for ETH to Hit $10K
Market analyst ‘Spencer Noon’ has provided the top-ten reasons why Ethereum holds the potential to hit $10,000 by the end of 2021.
- There’s a massive demand currently for the ETH block space as the Ethereum blockchain overshadows its peers with the average daily fee paid around $18 billion.
- As of date, the Ethereum blockchain network settles $30.5 billion of value every day which is twice that of the Bitcoin blockchain network.
- The daily active addresses for Ethereum are on a continuous rise and have reached a new all-time high above 625K in recent times.
- Ethereum is slowly emerging as an institutional-grade technology with the explosive growth of the DeFi activity this year. Of the total $65 billion locked in DeFi, a majority of the DeFi projects are on Ethereum.
- The monthly Ethereum-based DEX volume has surged 60x over the last year moving past $60 billion.
- Due to strong ETH liquidity, synthetic cryptocurrencies including Bitcoin are represented on the Ethereum blockchain. The supply of synthetic Bitcoins on the Ethereum blockchain has crossed $200K.
- NFT sales on Ethereum have been skyrocketing and have recently surpassed $600 million.
- Ethereum-based Polygon network currently processes $1 million in daily transactions. It has also onboarded some of the biggest DeFi projects like Aave.
- The Ethereum blockchain network currently has more than $50 billion in outstanding stablecoin supply.
- The Ethereum blockchain is all headed for an EIP-1559 upgrade that will considerably reduce the issue of rising ETH gas fees for its users.
Thus, the Ethereum blockchain network is set for some major upgrades and developments taking place. It is most likely that it will boost the ETH price faster than investors’ expectations.