Cryptocurrency
The 3 Factors Fueling Ether’s 2020 Rally
As reported by Coindesk, “Ether (ETH) has had a great 2020 so far. Though down nearly 20 percent from recent highs, the second-largest cryptocurrency by market value is still up a solid 80 percent on a year-to-date basis. “Ether bottomed out near $115 on Dec. 18 and rose sharply to a high of $289 on Feb. […]
As reported by Coindesk, “Ether (ETH) has had a great 2020 so far. Though down nearly 20 percent from recent highs, the second-largest cryptocurrency by market value is still up a solid 80 percent on a year-to-date basis.
“Ether bottomed out near $115 on Dec. 18 and rose sharply to a high of $289 on Feb. 15. That was the highest level since July 2019, according to CoinDesk’s Ether Price Index.
“To be sure, prices have pulled back in the last few days along with bitcoin (BTC), which has declined below the $9,000 from a recent high around $10,500. Nonetheless, ether’s gains look more impressive when compared to bitcoin’s 21 percent year-to-date rally.
“Several factors could explain ether’s spectacular gains and determine whether they will continue.
“According to market observers and participants, ether has been driven higher mainly by the upcoming bitcoin reward halving and the resulting rise in bitcoin, the anticipated release of ETH 2.0 and the breakout of the decentralized finance (DeFi) industry…”