Ether Reaches Record High

The second most popular and traded crypto currency after Bitcoin, Etherium (Ether) rose to an all time high and was being traded around $1,637.21, up 10.32% in the past 24 hours. And it’s not just Ether that is riding . Other significant DeFi tokens and crypto currencies are also rising rapidly.

Going above $1500 for the first time after Ether bounced on other DeFi tokens including chainlink (LINK), sushiswap (SUSHI), and aave (AAVE). Ether has seen year-to-date gains of around 120%, compared to bitcoin’s 30%.

Ether may dodge Bitcoin’s experience back in 2017, said Vijay Ayyar, head of Asia Pacific with crypto exchange Luno in Singapore. “For all you know, major players may be looking to get long exposure through futures, now that there is an institutional-grade product to do so,” he said. “Smart traders moved to Ether when Bitcoin topped out around $40,000 and have made more money.”

The Cause

According to analysts, Ether rose when the digital asset manager of Grayscale Investments stated that they would be reopening its Ethereum Trust.
“The listing of Ethereum futures on a regulated exchange should serve to enhance the crypto market structure by allowing investors to gain exposure to the second most important cryptocurrency as a diversifier to bitcoin, or for simply hedging existing Ethereum exposures,” wrote JPMorgan strategists in a note to clients.

Backed by the current wave of new entrant to crypto, the total market value of all cryptocurrencies has moved above $1 trillion for the first time earlier this January.