- Ethereum hit an all-time high in Wednesday’s rally, breaking above US$1,500
- Traders showing massive interest in Ethereum futures ahead of its launch coming week
- A strong value in the crypto market
Ethereum has been showing the bullish trend from quite some time now. The growing interest of the investors in the coin has soared the prices of Ethereum in the Wednesday rally ahead of the launch of Ethereum futures on the Chicago Mercantile Exchange coming week.
Ethereum shows positive signs of recovery
Ethereum is showing the strong and positive sign of recovery and has been on a bullish run from quite some time now. In the Wednesday rally, the coin hit an all-time high and broke all previous records. It has broken above US$1,500 ahead of the launch of Ethereum futures on the Chicago Mercantile Exchange next week.
The prices soared during the trading session because traders showed keen interest in the cryptocurrency and invested heavily in it before the launch. Ethereum has been showing strong value in the crypto market and has been at par with bitcoin now. It has seen a gain of around 120 per cent, compared with bitcoin’s 30 per cent.
Ethereum hit a new high of $1,576.7 in the London trading session on Wednesday. Traders and exchanges seem to be very positive about the rising prices of Ethereum.
A potential entity to boost the crypto market structure
JP Morgan, while writing a note to its clients, said that Ethereum futures listing would serve as a potential entity for the customers dealing in cryptocurrencies. Its listings on a regulated exchange will boost the crypto market structure. Since it is the second most important cryptocurrency, it will give maximum exposure to the investors. This coin acts as a diversified bitcoin. It helps in hedging simple Ethereum exposures.
It is to be noted that this week’s listing of Ethereum futures contracts will be followed by negative price dynamics by enabling holders of physical Ethereum to hedge their exposures. There will be options on Ethereum futures on the listing which will be launched perhaps in 2022 after the launch of Ethereum futures next week. The launch of options on bitcoin futures in the first quarter of 2020 was exactly done in a similar manner.
The mainstream investors are showing interest in the other cryptocurrencies other than bitcoin now. This traction has been observed lately after bitcoin lately. The growing interest of investors in other cryptocurrencies has boosted the total market value of other cryptocurrencies above $1 trillion for the first time in January 2021.
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